MADISON - State Rep. Steve Hilgenberg has a plan intended to protect businesses and individuals from the health-care cost effects of serious illnesses and injuries.
Hilgenberg, D-Dodgeville on Jan. 4 introduced a Catastrophic Care Authority bill that creates a health care authority, the Catastrophic Care Authority (CCA), to study options, identify strategies, and develop recommendations for establishing a statewide catastrophic care pool to provide coverage to businesses and individuals for catastrophic claims.
Hilgenberg spokesman Max Dulberger said this bill is separate from Gov. Jim Doyle's Healthy Wisconsin Council recommendations for reducing health care costs in the state, but would work from those ideas on reinsurance programs for catastrophic care. The Healthy Wisconsin Council made broad general recommendations, he said.
"This is a separate thing to take up in Legislature, rather than come from the budget," Dulberger said. "We are going to take the lead."
The CCA would consist of state legislators, health care experts and representatives from the insurance, labor and small business communities. By Sept. 15, 2009, the CCA would submit a report with its recommendations for establishing the catastrophic care program.
Dulberger said the Farmers Health Cooperative developed a similar program.
With a catastrophic care program, Hilgenberg said businesses are able to enroll their highest cost employees in a statewide pool. This offsets the high cost of health care for those individuals who suffer from serious illness or injury; as of now, 50 percent of Wisconsin's health care costs are incurred by 5 percent of the people.
By spreading risk over a large and stable health insurance pool, Hilgenberg said, members are able to avoid high rate increases. Also, insurers are able to cover more people because they have fewer incentives to "select-out" higher-risk people.
"It is so important, especially at a time when health care costs are rising and businesses are struggling to provide their employees with affordable medical care, that we bring fresh ideas to the table ...," Hilgenberg said in a new release. "This bill will consolidate our resources and generate the know-how we need to address the problems that so many Wisconsinites are facing."
Hilgenberg, D-Dodgeville on Jan. 4 introduced a Catastrophic Care Authority bill that creates a health care authority, the Catastrophic Care Authority (CCA), to study options, identify strategies, and develop recommendations for establishing a statewide catastrophic care pool to provide coverage to businesses and individuals for catastrophic claims.
Hilgenberg spokesman Max Dulberger said this bill is separate from Gov. Jim Doyle's Healthy Wisconsin Council recommendations for reducing health care costs in the state, but would work from those ideas on reinsurance programs for catastrophic care. The Healthy Wisconsin Council made broad general recommendations, he said.
"This is a separate thing to take up in Legislature, rather than come from the budget," Dulberger said. "We are going to take the lead."
The CCA would consist of state legislators, health care experts and representatives from the insurance, labor and small business communities. By Sept. 15, 2009, the CCA would submit a report with its recommendations for establishing the catastrophic care program.
Dulberger said the Farmers Health Cooperative developed a similar program.
With a catastrophic care program, Hilgenberg said businesses are able to enroll their highest cost employees in a statewide pool. This offsets the high cost of health care for those individuals who suffer from serious illness or injury; as of now, 50 percent of Wisconsin's health care costs are incurred by 5 percent of the people.
By spreading risk over a large and stable health insurance pool, Hilgenberg said, members are able to avoid high rate increases. Also, insurers are able to cover more people because they have fewer incentives to "select-out" higher-risk people.
"It is so important, especially at a time when health care costs are rising and businesses are struggling to provide their employees with affordable medical care, that we bring fresh ideas to the table ...," Hilgenberg said in a new release. "This bill will consolidate our resources and generate the know-how we need to address the problems that so many Wisconsinites are facing."