Dive Brief:
- HHS finally provided providers clear guidance on subsidies last week, and hospitals are beginning to work with third parties to pay part of the cost of health insurance for consumers.
- For example, the Wisconsin United Way chapter and the University of Wisconsin Hospital and Clinics are using a hospital financial gift to help defray the cost of insurance for some potential enrollees. As of March 31, United Way's HealthConnect program has used most of the $2 million gift from one hospital, UW Health, to help 630 households with health exchange plan subsidies.
- In another example, the South Florida Hospital & Healthcare Association, a trade group for 45 hospitals in four counties, hopes to aggregate hospital funds to pay premiums for patients who would benefit if the state expanded Medicaid coverage.
Dive Insight:
UW Hospital's program is likely to help many families, but it applies only to those that earn between 100% and 150% of the federal poverty level. That does nothing to help families that make more but still can't afford exchange premiums. While this is a good start, hospitals will have to come to grips with the fact that there are millions of middle-class families who also cannot afford exchange premiums. Supporting the poorest of the poor is a good idea but it's not enough.