Ohio
02 August 2017
Reporter: Becky Butcher

Coverage for pre-existing conditions tops healthcare reform concerns


Retaining insurance coverage for pre-existing conditions is the most vital feature of successful long-term healthcare reform, according to a survey by KeyBank.

The survey, which questioned 300 US middle-market business leaders in early June, focused on healthcare and the uncertainty over how proposed regulations might affect businesses in the coming months.

Although President Donald Trump and the Republicans plan to repeal or replace the Affordable Care Act (ACA), it is unclear what the replacement will ultimately look like.

The KeyBank survey found that more than 90 percent of those participants identified pre-existing coverage as being a somewhat or extremely important factor in long-term healthcare reform.

Second on the list, 84 percent of those surveyed suggested they would consider eliminating annual or lifetime limits on most health plan coverages, while 82 percent consider essential health benefit provisions and expanded Medicare preventive coverage to be somewhat or extremely important.

Jim Fasone, national healthcare practice leader for Key Insurance & Benefits, which offers commercial insurance, captive insurance, employee benefits, personal insurance and third-party administration services, said: “Employers know what matters most for their people, so it's not surprising to see pre-existing conditions and the other factors characterised as essential elements for long-term success.”

“Regardless what happens to the law, we're looking for businesses to shift even more focus on maintaining strong employee benefit programmes. While healthcare reform remains on the horizon, business leaders are putting themselves in a better position to manage change and the risks change to their employee benefits.”

At the time of the survey, healthcare reform focused on the differences between the Affordable Care Act and the proposed American Health Care Act.

Of those surveyed, 42 percent indicated they strongly approve the proposed plan, while 41 percent said they strongly disapprove the proposed plan.

However, it also revealed middle market leaders surveyed are united on one front—retaining and attracting top talent.

According to survey results, those middle-market business leaders looking to expand operations will do so by adding employees rather than acquiring other businesses, adding facilities or buying equipment.

Fasone said: “Middle market business leaders are caught in a squeeze play between employee priorities, healthcare costs and regulatory uncertainty.”

"But you can't manage your business through market swings. You have to manage your business through constant risk mitigation strategies, regardless of the final outcome of this legislation."

Trump and anti-ACA politicians failed with a ‘skinny repeal’ in late July, marking seven years since Republicans vowed to dismantle President Barack Obama’s flagship reform.

More news
The latest news from Captive Insurance Times
Join Our Newsletter

Sign up today and never
miss the latest news or an issue again

Subscribe now
Cayman captive industry generated $100m in 2016
14 December 2017 | Grand Cayman | Reporter: Ned Holmes
The Cayman Islands captive insurance industry generated $100 million for the island’s economy in 2016, according to a recent economic impact survey.
BDA board gains new chair
14 December 2017 | Hamilton | Reporter: Ned Holmes
Paul Scope has been elected as the new chair of the Bermuda Business Development Agency (BDA) and Shelby Weldon has been appointed to the board of directors.
Ameriprise captive rated ‘excellent’, says A.M. Best
14 December 2017 | New Jersey | Reporter: Ned Holmes
Ameriprise Captive Insurance Company (ACIC) has received a financial strength rating of “A (Excellent)” and a long-term issuer credit rating of “a+” from A.M. Best.
PRIIA to help grow Puerto Rico as a captive domicile
13 December 2017 | San Juan | Reporter: Ned Holmes
The Puerto Rico International Insurance Association (PRIIA) will play an expanded role in helping to grow the country into a leading captive insurance domicile, according to PRIIA president Hugo Cordova.
Brit launches new Bermuda-based SPI
13 December 2017 | Bermuda | Reporter: Ned Holmes
Insurance and reinsurance group Brit has launched a new Bermuda-domiciled collateralised reinsurance platform, Sussex Capital.
Two funds complete trade on ILSBlockchain
12 December 2017 | St Peter Port | Reporter: Ned Holmes
Two funds have completed what is believed to be the first secondary market securities trade on notes digitised on the ILSBlockchain, a private blockchain set up by Guernsey incorporated cell company Solidum Re.
NiSource captive rated ‘excellent’ by A.M. Best
11 December 2017 | Oldwick | Reporter: Ned Holmes
A.M. Best has given the financial strength rating of “A- (Excellent)” and the long-term issuer credit rating of “a-” to NiSource Insurance Corporation (NICI).