One of the first provisions that would be implemented under federal health
reform bills in the House and the Senate would establish a national high-risk
pool program to offer coverage to otherwise uninsurable individuals during the
interim period between enactment and implementation of broader health care
reforms.
High-risk pools provide a safety net for people who are denied
coverage by private insurers due to their health. Most states that permit
insurers to decline applicants for health reasons have high-risk pools today.
The House and Senate bills would extend risk pool protection nationally, reduce
the costs of risk pool coverage for many participants, and provide $5 billion
dollars to subsidize the costs of coverage. The House and Senate provisions are
similar, but not identical, and their provisions would need to be reconciled in
any final health reform legislation.
This brief examines the role of
high-risk pools as a coverage safety net today and reviews key issues involved
in implementing a national high-risk pool. It was authored by Karen Pollitz of
the Georgetown University Health Policy Institute.
Brief (.pdf)
