Insurance Providers May Soon Have To Reveal Rationale Behind Premium Increases

By Laurel Brishel Prichard-University of New Mexico/ Talk Radio News Service

Health and Human Secretary Kathleen Sebelius told reporters Thursday that through the administration's health care reform effort, health insurance providers could soon be required to publish the rationale behind premium increases on American's policies.

“Right now we have a situation where the top 5 companies filed earning reports of $12.7 billion for 2009 in terms of profit statements and yet pivot around with double digit rate increase," Sebelius said during a conference call with reporters. “People have no bargaining power, they have no leverage and often are desperate in terms of what in the world they are going to do."

According to the secretary, posting the reasons behind raised premiums online will provide additional transparency.

Sebelius's remarks came shortly after a meeting with a variety of the heavy hitting insurance company CEO's and commissioners, including those from UnitedHealth Group, Aetna and WellPoint.

President Barack Obama stopped in during the meeting, according to Sebelius, to share a letter that he received from a cancer survivor in Ohio. Her rates were increased 25 percent last year, which put her insurance premiums at $7,000, with $4,000 in out of pocket costs, and has been informed that her rates will go up another 40 percent this year.

Sebelius quoted Obama saying “that kind of rate increase is just unacceptable and unsustainable.”

Sebelius Blasts Hike In Health Care Premiums

By Monique Cala University of New Mexico/ Talk Radio News Service

Secretary of Health and Human Services Kathleen Sebelius had harsh words regarding the ‘extreme’ premium increases insurance companies have requested this year.

“We are seeing this at a same time where not only is there an economic down turn around the country, but we know that insurance companies are not suffering that same kind of downturn,” said Sebelius during a conference call with reporters Thursday. “The five largest insurers in America have declared more than $12 billion worth of profits in 2009.”

The Secretary's comments came shortly after Health and Human Services released a report entitled "Insurance Companies Prosper, Families Suffer: Our Broken Health Insurance System," which detailed hikes in premiums, such as Anthem Blue Cross of California, which seeks to raise premiums by up to 39 percent.

Sebelius said she had contacted Blue Cross to ask for an explanation for the hike. In response, the company said they would delay the increase for two months.

According to the report, a recent study found that almost 75 percent of individuals looking for coverage on the individual market never bought a plan, with 61 percent of those who did not purchase insurance citing premium costs as the primary reason.

"The president said we won't fix the economy without fixing our healthcare system,” added Sebelius. “Thats why he invited leadership from the Democrats and Republicans, from the House and Senate, to sit down, roll up their sleeves and talk about a comprehensive health reform plan.”

Sebelius Touts $911 Billion For HHS In 2011 Budget

By Monique Cala - University of New Mexico/Talk Radio News Service

U.S. Department for Health and Human Services (HHS) Secretary Kathleen Sebelius announced Monday that President Barack Obama's proposed 2011 budget includes $911 billion for HHS.

“Whether fighting a pandemic, protecting food safety, or transforming the health care system with electronic medical records, the investments we’ve made have been guided by some of the finest scientific and medical experts in the world,” said Sebelius.

HHS has announced further investment in ‘next generation health care technologies,’ which includes a move to electronic health records by hospitals and doctors to help reduce medical errors, coordinate care and cut costs.

“What we have today is a sick care system, where we wait until something goes wrong to intervene,” said Sebelius.

According to the Secretary, HHS will work on prevention tactics by tackling obesity, which costs the U.S. health care system $150 billion a year, as well as fraud prevention with projected savings of $9.9 billion over ten years.

For more details on HHS's FY2011 budget visit FY2011 Budget.

Prevention Necessary Component Of Health Care Reform, Say Top HHS Officials

By Courtney Ann Jackson-Talk Radio News Service

A focus on prevention and wellness is key to quality health care reform, according the the Department of Health and Human Services (HHS).

HHS Secretary Kathleen Sebelius and three top HHS officials participated in a webcast Friday to clarify the Obama administration's health care reform message.

“This is a public health opportunity, not just a physician opportunity. We believe prevention should occur not just between a doctor and a patient and not just at an individual level, but at the family level, the neighborhood level, the community level,” said Dr. David Blumenthal, National Coordinator for Health Information Technology. “Public health and prevention is now a major theme for every person in this country and we all have an investment in it.”

Howard Koh, Assistant Secretary for Health, said what seems like simple steps, such as, immunization or counseling for an addiction, can save money in the long-term.

The officials also highlighted aspects that the administration claims are essential to comprehensive health reform including: reducing long-term growth of health care costs, a guaranteed choice of doctors and health plans, improved patient safety and quality of care, affordable quality coverage, and the ability to maintain coverage when you change or lose your job.

“We’re not just focusing on saving costs, but saving lives,” Sebelius said.

Health And Human Services Department To Give Grants To Uninsured Children

Courtney Costello-Talk Radio News Service

Grant applications are now available through the Health and Human Services Department for organizations and state and local governments to receive between $25 thousand and $1 million to help uninsured children receive health care.

During a conference call with reporters, Health and Human Services Secretary Kathleen Sebelius, announced that that the funding will be coming from Children’s Health Insurance Program Reauthorization Act (CHIPRA), which was passed in February. It will provide $40 million in grants this year and a total of $100 million in grants over the next four years.

“This grant opportunity is going to be a great help to states and communities that are working hard to ensure kids and families are getting health care that they need even in the down turn,” said Colorado Governor Bill Ritter.

According to Sebelius, the grants will be primarily awarded towards cities and rural areas where there are high populations of uninsured children. Sebelius predicts the program will also allow states to reach out to over 4 million children who are currently uninsured.