Blue Cross Campaigns Against California Healthcare Reform Proposals
June 8th, 2007
The AP reported (5/25, Kurtzman), “California’s largest health insurer has set aside $2 million for what is likely to be a deep-pocketed campaign to undermine the healthcare reforms being pushed by Democratic lawmakers and Gov. Arnold Schwarzenegger (R).” On May 24, “Blue Cross ran a three-quarter-page ad in the Sacramento Bee warning that the proposed insurance reforms could have unintended consequences like the energy deregulation that ushered in California’s electricity crisis.” The AP notes that “the company’s action shows that some businesses are moving to protect their interests as the governor and the Legislature ponder sweeping reforms.”
Blue Cross “is adamantly opposed to a variety of proposed insurance market reforms, especially a requirement that they sell policies to everyone, regardless of their medical history.” The company “says the reforms…will drive up insurance premiums.”
Ann-Louise Kuhns, a vice president with Blue Cross of California, “said the company supports greater health coverage, for example by expanding public programs, but not insurance market reforms that could hurt its business.” Meanwhile, the California Medical Association “called the Blue Cross ad ‘an abomination’ and accused Blue Cross of a cynical attempt to maintain high profits. Health Access, a union-backed group that advocates for the poor, said that if the healthcare debate is like energy deregulation, then Blue Cross is playing the role of Enron.” Adam Mendelsohn, the governor’s communications director, “disputed Blue Cross’ assertion that the governor’s health reform plan would drive up insurance premiums. On the contrary, he said, it would bring them down.”
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