Board of Hawaii’s health exchange approves transition plan
On Friday, a transition plan was approved by Hawaii health exchange board under which the exchange will stop accepting new enrollments in health care to the small business side beginning June 15.
The ACA required all state-based marketplaces, such as Hawaii, to be financially sustainable by the beginning of 2015. However, that relied on continuous state support. The Legislature granted less funding than what the exchange had requested to be sustainable this year.
Jef Kissel, CEO of the Hawaii Health Connector, said the federal government has been withholding about $70 million in grant money. However, that would probably be released, thanks to the board’s vote. The money would enable the exchange to continue doing outreach.
Kissel said under the transition plan, businesses offering their employees coverage through the exchange would buy policies directly from insurers. Re-enrollment is required by individual users and they can do it by using healthcare.gov. Those changes would happen during the next enrollment period in the fall.
Kissel explained that although many agree that its might not be the better plan, building agreement and putting together an effort is very important. The agreement will assure access to Hawaii’s health care and wellness systems for the next generation.
Kissel mentioned that Hawaii’s health exchange will become a federally supported state-based marketplace. The state will join Nevada, New Mexico and Oregon, which have similar setups.