Governor Rell said the overall goal of insurance exchanges is to create an organized and competitive market for buying and selling health insurance at a price that consumers can afford.
“These exchanges will only reach their potential if there is maximum competition, ample choice and participation,” Governor Rell said. “In order to develop the best public policy on preparing Connecticut for the exchange must have the best data. These funds will allows us to assess market research and other information that help guide our decisions.”
The state Office of Policy and Management applied for $996,850 in a grant application submitted September 1 to the U.S. Department of Health and Human Services. The outcome of the year-long study will provide Connecticut with the market research and data analyses to better determine if a statewide, “state-operated” exchange is a viable option, or whether the markets for individual and small groups should be combined.
“The federal health care act has many complexities and many opportunities for cost savings to the state,” Governor Rell. “Anything beneficial in the act for Connecticut citizens and taxpayers is worth pursuing to make health care more accessible and affordable to all.”
In April, Connecticut became the first state to formally seek approval under the new federal law to cover more people under Medicaid and, in the process, to capture tens of millions of dollars in new federal revenue. The state plans to transfer 45,000 single, low-income adults covered by State-Administered General Assistance (SAGA) into the larger Medicaid program, which could save the state $53 million over the next year.
Under Governor Rell’s direction, the state is also offering a Pre-Existing Insurance Plan, which will use $50 million allocated to Connecticut under the federal health care reform bill. The Governor approved launch of the program after her administration was able to successfully lower premiums by 35 percent over initial estimates to but costs within reach of many Connecticut residents.
