Blue Ribbon Commission for Health Care Reform A

Blue Ribbon Commission for Health Care Reform A Roadmap for Health Reform in Colorado Recommendations of the Blue Ribbon Commission for Health Care Reform William N. Lindsay III

Starting Point for the Journey n Health insurance costs are rising rapidly for businesses and families Percent of Income Needed for Health Insurance (Colorado) – Average premium for employee coverage in Colorado doubled during the decade between 1996 and 2006 – Colorado families spend 19% of their income on health insurance Source: Len Nichols, The New America Foundation, using data from the Agency for Healthcare Research and Quality, Kaiser Family Foundation and Current Population Survey Blue Ribbon Commission for Health Care Reform 2

Starting Point for the Journey n Large numbers of uninsured Average Monthly Uninsured in Colorado by Family Income – 792, 000 Coloradans lack health insurance (17% of the population) – 180, 000 uninsured children n Uninsured are found in all income groups – 25% of uninsured in households earning $50, 000 or more n Most are employed – 70% are workers or dependents of workers Source: The Lewin Group estimates using the Health Benefits Simulation Model (HBSM) Blue Ribbon Commission for Health Care Reform 3

Blue Ribbon Commission for Health Care Reform n Created in 2006 to study health care reform options and make recommendations to state legislature – Increase coverage – Reduce costs n 27 commissioners – Appointed by legislative leaders from both parties, Gov. Owens, Gov. Ritter – Physicians, hospitals, insurance industry, consumers, businesses Blue Ribbon Commission for Health Care Reform 4

Our Journey So Far n Process – Asked public for health care reform proposals – received 31 – Selected 4 for evaluation; developed 5 th • A range of approaches – Analyzed cost, coverage impacts of all 5 n Community input – Open meetings – 24 community meetings – Advisory Task Forces n Developed recommendations, presented to legislature Blue Ribbon Commission for Health Care Reform 5

Which Direction Should We Go? n Build on what we have – or start from scratch? n Emphasize private markets or public coverage – or find a way to balance both? Blue Ribbon Commission for Health Care Reform 6

The Commission’s Philosophy n Shared responsibility n One size doesn’t fit all n Some people simply can’t afford private coverage n Preserve the safety net n Protect vulnerable populations n Encourage healthy lifestyles, prevention and wellness n Individual choice n Build on strengths of current system n Maximize federal funding Blue Ribbon Commission for Health Care Reform 7

The Road to Reform Highlights of the Commission’s Recommendations n Implement the recommendations as a package – Individual recommendations will not be as effective if implemented without the other recommendations n Implement in stages – Before you expand eligibility for public programs, you must first bring more providers into the program – Before you require people to have insurance, you must make it affordable and accessible Blue Ribbon Commission for Health Care Reform 8

Where Did We End Up? Commission’s Proposal: n Provide health insurance to 694, 500 currently uninsured Coloradans (88% of the state’s uninsured) n Assure affordable coverage for low- and middleincome legal residents of Colorado n Improve delivery of services to vulnerable populations n Increase prevention, enhance personal responsibility n Reduce costs systemwide Blue Ribbon Commission for Health Care Reform 9

Where Did We End Up? 2008 Legislature: n Fifteen specific laws n Two Executive Orders n Incremental but fundamental first step Blue Ribbon Commission for Health Care Reform 10

Why We’re Confident of This Path n The recommendations are Colorado-specific – Build on Colorado’s strong private health insurance market and improve Colorado's public coverage programs n The recommendations are bipartisan – 24 of the 27 commissioners, appointed by leaders from both parties, support the Commission’s recommendations n The recommendations are from all sectors – Doctors, hospitals, insurance companies, consumers and businesses developed and support the recommendations Blue Ribbon Commission for Health Care Reform 11

Next Steps n Legislators and governor – Act on recommendations n You – Stay informed – Tell your elected officials what you think – Help us spread the word – Participate in the dialogue and the process Blue Ribbon Commission for Health Care Reform 12

Blue Ribbon Commission for Health Care Reform For More Information www. colorado. gov/208 commission