Year in Review - 2009

January 13, 2010


Welcome


By Ross Kraft - State NYSAHU President

It has been a historic year in the history of the New York State Association of Health Underwriters. With sweeping health care reform serving as the top issue in Washington throughout 2009, the NYSAHU has been well positioned to serve its members and build its four chapters to better service health insurance brokers and carriers across the state.

The organization has been focused on membership recruitment, as it works to expand NAHU into suburban and rural areas of western New York. NYSAHU is also focused on expanding membership in the cities and the suburbs, where they are many brokers and carriers who are not associated with the Association, but should be. In 2009, the Association demonstrated its enormous relevance and value to members, as Congress worked to overhaul the nation's health care system.

NYSAHU leveraged its experience in health insurance to explain what was happening on Capitol Hill and how it affected the typical New Yorker. We are pleased to provide you with a snapshot of the Association's accomplishments in 2009 and our goals for 2010 and beyond.


 NYSAHU Hosts National Convention
 
New York was proud to play host to the annual conference of the National Association of Health Underwriters. At the conference, held in midtown Manhattan June 28-July 1, the state received the following awards:

 

· Distinguished Service - Ross W. Kraft
· Highest Growth Rate Large Local Chapter - Metro NY
· Highest Growth Rate Large State Chapter - NYAHU
· Overall - NYSAHU


Government Affairs
 

The Association has a proactive lobbyist in Albany, Thomas Faist, Esq., who has helped coordinate numerous legislative meetings with NYSAHU members.
 
Tom has also kept the membership informed about all relevant issues in Albany, which has been an enormous value-added service for our members.
 
When issues relevant to the Association are raised in Albany, Tom circulates legislative summaries and makes recommendations for next steps. In addition, Tom is a regular speaker at chapter events, sharing his experiences in Albany and offering recommendations for how NYSAHU can show more value to its Membership through advocacy.
 
When GCNYAHU President-Elect Kishan Perera and Daniel C.Judge of the Western NY chapter were approached in early fall to provide expert testimony for New York State Insurance Department hearings, Tom drafted testimony to ensure the coherence and consistency of the testimony to the core message of the Association.
 
NYSAHU has also had a strong attendance at the annual Capitol Conference in Washington, in which we met with our federal lawmakers on Capitol Hill to discuss health care issues of relevance to our members.


News from Albany
By Thomas Faist, Esq.

  • 2009 was a year of turmoil in the state Legislature. There is an ongoing economic recession with it negative impact upon state revenues. Gov. David Paterson is struggling in the polls. The State Senate experienced a political changeover from 40+ years of Republican leadership to Democratic control. Faist Government Affairs worked on a large number of legislative/regulatory issues of concern to NYSAHU.

     
    The main focus of these efforts was directed at the Senate Insurance Committee, the Assembly Insurance Committee, the Senate Health Committee and the Assembly Health Committee.
     
    Here is a run-down of the main legislative/regulatory issues of concern:
     
    1. Preserve broker's role in obtaining health insurance plans
    2.  Opposed the single-payer system
  • 3.  Supported legislative amendments to allow health insurance brokers to provide certain administrative services to clients without violating the "anti-rebating law"
  • 4.  Participated in stakeholder work groups set up by the NYS Insurance Department to discuss proposed NYS Insurance Department's Proposed Regulation 194  We informed the Department that we opposed the regulation if it would requires mandatory, across-the-board disclosure of broker compensation. Such disclosures would impart no useful information to consumers, would impose burdensome compliance costs on brokers and could lead to illegal rebating of premiums.
  • 5.  Opposed any additional taxes or assessments on health insurance premiums, health plans or carriers, or hospital or other healthcare provider charges in the State Budget for 2009-10, including additional HCRA surcharges and 332 assessments, a higher health insurance premium tax, and third party administrator (TPA) claims processing fees.
  • 6.  Fought a Governor's Program Bill requiring governmental price controls, like prior approval of health insurance premium rates and minimum loss ratios of 85%.
  • 7.  Supported regulation of medical card discount plans by establishing licensing standards & preventing deceptive consumer marketing practices.
  • 8.  Provided testimony to the NYS Insurance Department in support of the marketing, sale, distribution and underwriting of limited benefits health plans, but only through licensed health insurance brokers that provide appropriate consumer disclosures under current laws and regulations.
  • 9. Supported modified community rating for the small group and individual markets within a 25% rate band +/- of established rates for experience-based underwriting criteria.
  • 10. Supported the review of mandated health insurance benefits by some form of cost-benefit analysis.
  • 11. Continued to oppose the Compact for Long Term Care
  • 12.  Supported wellness discounts for lifestyle changes and disease management legislation
  • 13.  Supported premium subsidies for Child Health Plus coverage, similar to such assistance available to subscribers under Family Health Plus or Medicaid eligible individuals or families.

There are literally hundreds of other issues, bills and regulations that are monitored and tracked by Faist Government Affairs, which continues to engage in both defensive and affirmative lobbying on behalf of NYSAHU and its members.
 


NYSAHU Public Relations

To help spread the message of the organization, and underscore its value, NYSAHU retained the services of Jaffe Communications in 2009.
 
The scope of services to the organization includes:    

- Creation of an ongoing Communications Committee, which meets bi-weekly    

- Research, Development and Distribution of PR materials

 

  - Creation of an annual "State of the State" symposium  

- Organization of an ongoing Membership Committee  

- Creation of a regular electronic newsletter, such as this.  

  The firm, which also represents the New Jersey Association of Health Underwriters, has generated a steady stream of news coverage for NYSAHU, as well as served as a consistent resource for the state chapters.


Looking to 2010

We expect 2010 to be a very busy year for our state chapters. History is being made in Washington, as a sweeping health care reform bill is working its way toward the President's desk. It is still unclear how the ultimate legislation will affect health insurance brokers and carriers. Working with the Association, we will keep you up to date on the latest happenings in Washington and let you know how you can help protect the industry.

NYSAHU is also looking forward to the very first "State of the State" symposium, to be held this spring in Albany or Manhattan. We are assembling a panel of experts now to discuss how health care reform affects our industry and typical New Yorkers. This will be a not-to-miss event for you and your colleagues.

The local chapters are also focusing their  efforts in 2010 into further building membership. We have a great product and offer valuable service to our members. Our state chapter has had enormous success, now is the time to take it to the next level. Commit yourself to playing a larger role in NYSAHU; it can only help you and your business!

The state Board of Directors wishes all our members a very safe, happy and healthy 2010. We hope to see you at many of the superb NYSAHU functions that are being planned.