Washington State Lawmakers Consider Plans To Revamp Health Care Program for Low-Income Residents

The Washington state Senate Health Committee on Feb. 19 held hearings on two bills that would reform the Basic Health Plan, which provides health insurance to about 125,000 low-income residents who are ineligible for Medicaid, the AP/Seattle Post-Intelligencer reports. To qualify for the program, residents must have incomes less than 200% of the federal poverty level, or about $17,720 for an individual, and be ineligible for Medicaid. About two-thirds of program participants, who pay minimal copays and premiums, are employed but do not have employer-sponsored health insurance. Gov. Gary Locke (D) had proposed eliminating benefits for 60,000 childless adults to trim about $150 million from the program, but state lawmakers are considering bills that would cut benefits to keep more people in the program, according to the AP/Post-Intelligencer. One bill (SB 5313), sponsored by state Sen. Jim Kastama (D), would reform Basic Health Plan so that it is similar to the Regence BlueShield FourFront plan. That plan covers four physician visits per year, with copayments of $15 per visit; up to $300 in preventative care costs per year; and up to $500 for laboratory or X-ray services, the AP/Post-Intelligencer reports. The plan also caps out-of-pocket costs at $2,500 per year. Under Kastama's measure, Basic Health would fully cover beneficiaries' preventative treatment costs, have a $3,000 annual deductible and reduce income eligibility from 200% of the federal poverty level to 150%. Locke on Monday said he directed the Health Care Authority to revamp Basic Health to make it "similar" to the FourFront model, according to the AP/Post-Intelligencer. State Rep. Eileen Cody (D) said modeling Basic Health Plan after the FourFront plan could cut program costs by 25% and keep 15,000 people from losing benefits. The other bill (SB 5807), introduced by state Sen. Linda Evans Parlette (D), would limit beneficiaries' eligibility for the program to five years, lower income eligibility and increase copays. The AP/Post-Intelligencer does not report any further details on the bill (Cook, AP/Seattle Post-Intelligencer, 2/18).