Legislature considering creating a state-based healthcare exchange

JACKSON, Miss. (WLBT) - Thousands of you have health insurance you bought through the marketplace, healthcare.gov. However, state lawmakers are looking at whether they could improve your options and save you money in the process.

Right now, if you buy insurance off the marketplace, that program is run by the federal government.

“If you have a state-based exchange, you can lower the cost of insurance for folks who buy off the exchange,” explained Insurance Commissioner Mike Chaney.

Lawmakers say that moving to a state-run exchange could mean more options for you.

“What we’re trying to do is incentivize more insurance companies to participate and to offer better policies for the people that fall within those categories that could benefit from it,” said HB 1647 author Rep. Trey Lamar when presenting the legislation.

The question of why it matters comes with a simple answer.

“Mississippi leads the nation in medical bankruptcies,” said Mississippi Health Advocacy Program Director Roy Mitchell.

Those like the Mississippi Health Advocacy Program who’ve helped people navigate the existing marketplace admit this.

“There have been some struggles with meeting deductibles,” added Mitchell. “There have been struggles with co-pays. As consumer advocates, we try to help people navigate that but but frankly, I think it’s well known that currently the deductibles are too high for certain populations in exchange and that’s problematic.”

Roy Mitchell is hopeful that a move to the state plan could result in increased marketing and more navigators for those who stand to benefit from it. Insurance Commissioner Mike Chaney says that not only could a state-run plan be more affordable for people, it could save the state.

“We may pick up anywhere from 25 to 35 million dollars a year in income with which we’re paying to the federal government today,” explained Chaney. “So, that was a cost savings. So, what would we do with that money? We can lower premiums more. We can offer more options. We can do a lot of things to help preventive health care within the state, especially in the rural areas of the state. This is a good plan.”

The plan is not yet finalized and is still moving through the legislative process.

Of note, Mississippi came up with a state-run exchange plan more than 10 years ago. The Insurance Commissioner and Governor weren’t on the same page about how to move forward. So, if the legislature gives the green light to the development of a new plan, the governor would need to be on board.

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