More Baucus Bill: Subsidies and a ‘Young Invincib
Home » Health » More Baucus Bill: Subsidies and a ‘Young Invincible’ Plan
By Sean Duffy | 1 CommentLeave a Comment
Last updated: Wednesday, September 16, 2009

We’re combing through the 223-page health overhaul bill that Sen. Max Baucus unveiled this morning. Here are some tidbits about what kinds of plans insurers would need to offer to be allowed into the insurance exchange and who would be eligible for insurance subsidies: Baucus defines plans by the level of coverage they provide — think benefit levels dubbed as bronze, silver and gold. In order to be allowed to enter the exchange, the bill says plans must offer a basic amount of coverage, including: preventive and primary care emergency services maternity and newborn care pediatric services (including dental and vision) prescription drugs mental health and substance-abuse services Here’s the full bill ; benefit options are described beginning on p. 17. In addition, plans couldn’t charge deductibles or co-pays for preventive-care services or

place annual or lifetime caps on any benefits. Interesting, the Baucus bill defines a “young invincible” policy for individuals 25 years or younger, similar to a plan offered in Massachusetts, that would be a catastrophic-only policy. Prevention benefits in these plans are still exempt from the deductible, however. And who will be eligible to receive health insurance subsidies? Families with incomes of 300% of the federal poverty line — $66,150 for a family of four, according to 2009 federal poverty levels — would be eligible for a refundable tax credit to purchase health insurance through state exchanges (p. 20). For those with incomes in the 300% to 400% range, insurance premiums would be capped annually at 13% of income.

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More Baucus Bill: Subsidies and a ‘Young Invincible’ Plan

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1 comment
  1. Katie
    October 23, 2009

    My name is Katie and I am a student organizer with the Student Health organizing Coalition (SHOC). As a student in MA, I know firsthand that catastrophic coverage is an inadequate and inefficient way to cover students and young adults. Students across the state of Massachusetts are being put in a position in which they must chose between paying for their education or their basic health care needs. Prescription drug coverage is the backbone of many plans all across the country and it is inexcusable to exclude students from this necessary coverage. The Massachusetts legislature has recognized the shortcomings of these plans by filing and developing a bill that would do away with the student health insurance program all together. We fully support the effort that would allow young adults to remain on their parents/guardians health insurance plans until the age of 27. It its my hope that the bill will include legislation that would allow for the creation of a comprehensive student health insurance plan encompassing all of student’s health care needs. Catastrophic coverage is simply not enough and our health and wellbeing demands more.

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