Georgia and PPACA – 1 Year Anniversary

March 24th, 2011 Posted in GA Health Insurance, GA Health Insurance Exchange, PPACA

Georgia Governor DealOn the one year anniversary of the Patient Protection and Affordable Care Act (PPACA), Governor Nathan Deal correctly outlined two major issues for Georgia:

Impact on Taxes: “Georgia taxpayers would have to fork over, at a minimum, an additional $465 million per year to pay for a dramatic expansion of our state Medicaid program that is required by the new law. For Georgia families, this translates to an annual increase of approximately $1,000 per household.”

Impact on Availability of Doctors: “To cover some of the costs of Medicaid expansion and the mandated insurance exchange, Obamacare reduces the rate of reimbursement to doctors and other providers significantly. This reduction in reimbursement may affect the number of doctors who accept Medicaid patients, seriously impacting patient access at a time when demand will skyrocket.”

In trying to mitigate the impact of the new law, Commissioner of Insurance Ralph Hudgens has not been shy in voicing thoughts as well. In his cover letter to HHS Secretary Sebelius for the Georgia medical loss ratio waiver he writes:

“Although I believe that the Patient Protection and Affordable Care Act (”ACA”) is unconstitutional and fully support the various legal challenges to its constitutionality, it is my duty as Commissioner to do everything possible to protect the interests of Georgia citizens and the viability of the Georgia insurance market. It is for that reason that I am requesting a waiver to the MLR standard, and not because I believe that the ACA should or will be upheld by the court.”

One may have the sense that even its supporters are realizing that significant changes – if not all out failure – are on the horizon for PPACA. The two year anniversary of the law may be a whole lot more interesting than its first.

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