ALERT – Immediate Action Needed

Please Take Action!

AB 52 – OPPOSE

On August 25, 2011, the Senate Appropriations Committee sent AB 52 out of the suspense file and to the Senate Floor on a vote of 6 to 3. Voting in favor of AB 52 were Senators Kehoe, Alquist, Lieu, Pavley, Price and President Pro Tem of the Senate Steinberg. Opposed were Senators Walters, Emmerson and Runner. Democratic Senators Alquist and Lieu indicated that they would take another good look at the bill prior to voting on the Senate Floor.
AB 52 moves next to the Senate Floor for vote, possibly as early as next week.
It is vitally important that thos who oppose AB52, their colleagues and associates contact their respective California State Senators immediately to request a “NO” vote on AB 52. Click on the below link to Take Action Now and send an attached letter to your State Senator. You may use the text provided in the suggested letter or revise it to emphasize issues that are most significant to you and your business. We have included Talking Points’ for further information. The time to respond is NOW!
Thank you for your support!
ACTION NEEDED NOW
Assembly Bill 52 – Feuer – OPPOSE
Talking Points
The California Association of Health Underwriters-opposed AB 52 (Feuer) is only a few short steps from becoming law. We are asking you to contact your local Senator and urge them to vote NO on AB 52 when the bill is heard.
Under AB 52, health care insurers and HMOs would be required to submit all proposed changes in health care premium rates, copayments, levels of service or deductibles for review and approval from the Department of Insurance or Department of Managed Health Care at least 60 days prior to going into effect, among a number of other onerous provisions.
we are concerned that AB 52, as currently written, will lead to an arbitrary and politically driven rate approval process. We are also concerned that AB 52 does nothing to ameliorate the rising costs of health care in California.
AB 52 – Points of Concern:
* AB 52 will permit micromanagement of health plan content and service levels. AB 52 seeks to impose a detailed rate review process to scrutinize all rates charged, co-pays, levels of service, deductibles, annual out-of-pocket maximums and premiums levels.
• AB 52’s proposed multi-layered approval process will only result in bureaucratic bottlenecks, frustration by health plans, medical professionals, brokers/agents, and ultimately higher costs to consumers.
* The cost to implement outweighs benefits.
• Legislative estimates for a similar bill considered last year topped $30 million annually for needed new state employees to perform the details reviews called for in AB 52.
* AB 52 would add yet another loss ratio – an “overhead loss ratio” – meaning insurance providers would be subject to an unprecedented five loss ratios that AB 52 would couple with long delays in rate approvals.
• Adding a new loss ratio is unnecessary. The current ratios have already proven effective in avoiding excessive rate increases.
* AB 52 does not address the real problem of rising medical costs. Proponents say AB 52 is needed to control costs of healthcare insurance coverage.
• AB 52 is the wrong path to rein in healthcare costs. AB 52 does not contain a single provision addressing how to stem system costs. AB 52 fails because the provisions only provide for the micromanagement of the rate approval process.
* AB 52 encourages new litigation against health plans and insurers. AB 52 establishes a new “intervener” process, similar to one used in auto insurance, where an intervener can seek reimbursement of costs and legal fees when filing objections to rate plans.
• adding new ways to stall rate approvals through objections and legal filings by outside consumer interest groups will only make rate approvals even harder to accomplish and still not address the core issue of continuously rising health care costs for consumers.
* This will bill will only hurt the consumer in the long run.
We urge all readers to contact your local senator right away and ask them to vote “NO” on AB 52 (Feuer) when it comes before them for consideration.  Click HERE to Take Action:  http://http://capwiz.com/nahu/issues/alert/?alertid=53244661&queueid=7279345621
 SENATE APPROPRIATIONS COMMITTEE
Listed in order of :  Name, District, Part,y Phone, &  Fax
Alquist, Elaine
13 D 916 651 4013 916 324 0283
Emmerson, Bill
37 R 916 651 4037 916 327 2187
Kehoe, Christine (Chair)
39 D 916 651 4039 916 327 2188
Lieu, Ted
28 D 916 651 4028 916 323 6056
Pavley, Fran
23 D 916 651 4023 916 324 4823
Price, Curren
26 D 916 651 4026 916 445 8899
Runner, Sharon
17 R 916 651 4017 916 445 4662
Steinberg, Darrell
6 D 916 651 4006 916 323 2263
Walters, Mimi (Vice Chair)
33 R 916 651 4033 916 445 9754

SENATOR

Listed in order of:  Distric,t Party, Phone, & Fax
Alquist, Elaine
13 D 916 651 4013 916 324 0283
Anderson, Joel
36 R 916 651 4036 916 447 9008
Berryhill, Tom
14 R 916 651 4014 916 327 3523
Blakeslee, Sam
15 R 916 651 4015 916 445 8081
Calderon, Ronald
30 D 916 651 4030 916 327 8755
Cannella, Anthony
12 R 916 651 4012 916 445 0773
Corbett, Ellen
10 D 916 651 4010 916 327 2433
Correa, Lou
34 D 916 651 4034 916 323 2323
de León, Kevin
22 D 916 651 4022 916 327 8817
DeSaulnier, Mark
7 D 916 651 4007 916 445 2527
Dutton, Bob
31 R 916 651 4031 916 327 2272
Emmerson, Bill
37 R 916 651 4037 916 327 2187
Evans, Noreen
2 D 916 651 4002 916 323 6958
Fuller, Jean
18 R 916 651 4018 916 322 3304
Gaines, Ted
1 R 916 651 4001 916 324 2680
Hancock, Loni
9 D 916 651 4009 916 327 1997
Harman, Tom
35 R 916 651 4035 916 445 9263
Hernandez, Edward
24 D 916 651 4024 916 445 0485
Huff, Robert
29 R 916 651 4029 916 324 0922
Kehoe, Christine
39 D 916 651 4039 916 327 2188
La Malfa, Doug
4 R 916 651 4004 916 445 7750
Leno, Mark
3 D 916 651 4003 916 445 4722
Lieu, Ted
28 D 916 651 4028 916 323 6056
Liu, Carol
21 D 916 651 4021 916 324 7543
Lowenthal, Alan
27 D 916 651 4027 916 327 9113
Negrete McLeod, Gloria
32 D 916 651 4032 916 445 0128
Padilla, Alex
20 D 916 651 4020 916 324 6645
Pavley, Fran
23 D 916 651 4023 916 324 4823
Price, Curren
26 D 916 651 4026 916 445 8899
Rubio, Michael
16 D 916 651 4016 916 327 5989
Runner, Sharon
17 R 916 651 4017 916 445 4662
Simitian, Joe
11 D 916 651 4011 916 323 4529
Steinberg, Darrell
6 D 916 651 4006 916 323 2263
Strickland, Tony
19 R 916 651 4019 916 324 7544
Vargas, Juan
40 D 916 651 4040 916 327 3522
Walters, Mimi
33 R 916 651 4033 916 445 9754
Wolk, Lois
5 D 916 651 4005 916 323 2304
Wright, Roderick
25 D 916 651 4025 916 445 3712
Wyland, Mark
38 R 916 651 4038 916 446 7382
Yee, Leland
8 D 916 651 4008 916 327 2186

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