March 31, 2008 07:20 PM UTC

At least someone is trying to address health care...

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• by: Steve Balboni

( – promoted by Colorado Pols)

With the Governor’s office essentially throwing in the towel on a key component of his so-called Colorado Promise it is heartening to see the legislature take the reins and force the issue of health care reform.

Not surprisingly the most controversial measure is being carried by Morgan Carroll,

The bill most likely to cause a rumble at the Capitol is from Rep. Morgan Carroll, D-Aurora. Carroll’s legislation, to be filed this week, would allow state insurance regulators to reject premium hikes by health insurers.

Insurance companies now are required to disclose rates but don’t need state approval to increase premiums.

Carroll said health-insurance premiums in Colorado increased 60 percent from 2001 to 2005, while average wages rose only 13 percent in the same period. The rate of inflation, meanwhile, was 10 percent, she said.

Any health care reforms are going to require substantial reigning in of the insurance industry. They are making billions in profits as the medical middle-men in this country while contributing very, very little to the system. A large portion of spiraling health care costs are related to the wasteful and inefficient system of private health insurers. Estimates put the amount of money spent on insurance administration as somewhere in the neighborhood of 30%. Rates are climbing at or near double digits every single year. Huge profits are being reported, massive bonuses are being paid to executives. Meanwhile patients are having their networks narrowed, losing significant choice in who they may see and doctors are seeing their reimbursement rates cut. Not to mention the meddling in medical decisions from insurance company bean-counters.

Morgan Carroll is providing some of that bold leadership on big issues that is sorely missing from the executive branch. This is an issue that is directly in Carroll’s wheelhouse, she has fought against the failings of the health insurance industry since taking office in 2004. Holding rates down will make insurance more affordable and thus increase access for average Coloradans. Requiring rate increase justification is a compromise position, would the insurers prefer we simply move to rate caps?

As I mentioned before health insurance administration costs account for a staggering percentage of our overall health care costs. A bill being introduced by Speaker of the House Andrew Romanoff and Senate Majority Leader Ken Gordon hopes to cut into that number,

Romanoff and Gordon are sponsoring a bill that would strengthen laws requiring insurance companies to pay claims in a timely manner.

Romanoff said too many Coloradans have to go through a “Kafka-esque hell” of appeal, denial and reappeal to get insurance companies to pay legitimate claims.

This is a bill that will not only help consumers but also doctors. Prompt payment will allow them and their staff to focus on providing health care instead of wasting time chasing down payment of claims from foot-dragging insurers.

All in all these are solid measures that should benefit the health care system in Colorado. It is disappointing that a lack of leadership at the top has left us with these piece-meal approaches but kudos should be given to legislative leadership for taking action on behalf of all Coloradans.

cross-posted at
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