How It Works

Product Tour

Brokers

About Array

Contact

	Introduction
	Overview
	The Health Plan
	Insurance
	Advantages
	Industries
	Hourly Workers
	Compensation
	Common Questions
	Broker Newsletters
	April 2010
	March 2010
	February 2010
	January 2010
	November 2009
	October 2009
	September 2009
	August 2009
	Old Newsletters
My clients are extremely happy with Array Health’s service. From its easy-to-use web-based tools to its superior customer service, Array does a fantastic job. Because of its defined contribution model, my Array clients require far less time than my other clients. Since I don’t have to spend time on renewals and other customer service issues, I have more opportunity to meet with prospective clients and deepen my relationships with existing ones. Deborah Levy Sr. Benefits Consultant AH&T Insurance

Array Bulletin: Service & Market Updates for April 2010

We have recently received many inquiries regarding the immediate impact of health care reform on the individual health insurance market. While there will be some reforms implemented in the short-term, the individual market will not experience significant changes until the legislation is fully enacted in 2014.

Below is an explanation of the short-term insurance market reforms. We also clarify the new FSA annual cap which begins in 2013.

Federal High-Risk Pool

July 2010: HHS will create a temporary high-risk health insurance pool that will cover individuals with pre-existing conditions. It appears Washington State will implement this program. WSHIP will continue to function as usual alongside this new federally funded high-risk pool.

Though premiums for the new high-risk pool will be capped, it is difficult to determine whether it will have an impact on rates in the individual market, since applicants for the new high-risk pool must have been without creditable health insurance coverage for at least six months.

Elimination of lifetime maximums

September 2010: Individual health insurance carriers will be prohibited from offering policies with lifetime limits on benefits. Because group health insurance plans will also be subject to this same rule, the cost difference between individual and group health insurance should remain unchanged. This reform will increase the cost of both types of insurance nominally.

Elimination of pre-existing condition limitations for children

September 2010: Insurance carriers will be prohibited from imposing pre-existing condition limitations on children under the age of 19. It also appears that many insurance carriers have agreed not to require medical underwriting for children.

This reform will likely cause premiums to rise, but the increase should be minimal. Only 4.8% of applicants were denied individual health coverage in Washington, and only 2% of all WSHIP enrollees are under the age of 18.* In essence, the denial rate is already small, and the percentage of those denied who are children is even smaller.

*Source: 2009 Annual Report for the Washington State Health Insurance Pool (WSHIP)

$2,500 FSA cap does not apply to HRAs

January 2013: FSAs will have an annual cap of $2,500. This new rule will not apply to HRAs.

We understand that this is a time of significant change in the health insurance industry. Please continue to use Array Health as a resource for information as you have questions regarding the impact of the new legislation.

Sincerely,

Christopher Moneta

Director of Sales

1-800-640-7086