Opinion: Proposed bills threaten affordable health insurance in North Carolina

As a human resource professional, I have seen firsthand how important it is for small businesses to offer competitive benefit packages to attract and retain top talent. However, the skyrocketing costs of health care have made it increasingly difficult for these businesses to provide adequate coverage. And now, to make matters worse, Blue Cross Blue Shield of North Carolina is proposing changes that could make health care even more unaffordable for small businesses and individuals.

Blue Cross NC currently holds over 80% of the individual and group markets in North Carolina, giving them a significant amount of power in the state's health care industry. And with the support of an extensive and expensive roster of 14 lobbyists, they are pushing for the passage of House Bill 346 and Senate Bill 296.

These bills would allow Blue Cross NC to reorganize its business structure and create a holding corporation exempt from insurance company regulations. While Blue Cross NC claims that this will help them better compete in the marketplace, opponents, correctly, argue that it will harm consumers by raising premiums and undermining the Department of Insurance's ability to regulate in the public interest.

The bills also aims to sidestep a 1998 law that requires Blue Cross NC to place 100% of its fair market value into a charitable foundation if it becomes a for-profit company. Blue Cross NC would avoid this requirement by reorganizing under a parent holding corporation, allowing them to keep decades of tax breaks without compensating the public.

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If these bills pass, it would be a huge blow to small businesses and individuals struggling to afford health care in North Carolina. Insurance Commissioner Mike Causey has already come out in opposition to the bills, stating that they will harm consumers and make it even more difficult to regulate the insurance industry in the public interest.

Furthermore, Blue Cross NC 's dominance in the state's insurance market means that any premium increases they impose will inevitably impact the entire industry. So not only will small businesses and individuals suffer, but the entire state's insurance market will be adversely affected.

Despite the concerns raised by opponents, Blue Cross NC has managed to secure bipartisan support for the bills in the House and Senate. This is a bipartisan powerplay and a blatant betrayal of the public trust. The process must slow down and be made more transparent to ensure the interests of the public are being represented, not just those of a powerful corporation.

The rising costs of health care are already a major burden for small businesses and individuals in North Carolina. We cannot afford to let Blue Cross NC and its 14 lobbyists make it even more unaffordable. It's time to stand up for affordable health care premiums and demand our elected officials do the same.

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House Bill 346 would allow Blue Cross NC to reorganize its business structure and create a holding corporation that would be exempt from insurance company regulations. This would give Blue Cross NC more freedom to raise premiums and invest in risky ventures, without having to worry about the approval of the Department of Insurance.

Senate Bill 296 would also allow Blue Cross NC to reorganize its business structure, but it would not exempt the holding corporation from insurance company regulations. However, the bill would also allow Blue Cross NC to sidestep a 1998 law that requires the company to place 100% of its fair market value into a charitable foundation if it becomes a for-profit company.

Both bills are currently being considered by the North Carolina General Assembly. If they are passed, they would have a significant impact on the cost of health care in North Carolina. Small businesses and individuals would be at the greatest risk of being harmed by these changes.

These bills are moving forward at an alarming rate, we urge you to contact your elected officials immediately and let them know that you oppose these bills. Together, we can protect affordable health care for all North Carolinians.

As concerned citizens, we must take action to prevent these bills from passing. We can start by contacting our Senators and urging them to vote "No" on HB 346. We can also reach out to Gov. Cooper and ask him to veto the bill if it does pass. And we can sign a petition to voice our opposition to the bills and demand that our voices be heard.

Jeffrey Dowgos is a Director of Human Resources in Western North Carolina with expertise in benefit plan design and organizational development.

This article originally appeared on Asheville Citizen Times: Opinion: Proposed bills threaten affordable health insurance in NC