Clark Fork Valley Hospital CEO talks affordable health

THOMPSON FALLS – The Thompson Falls Chamber of Commerce meeting was flooded with information on the new Affordable Care Act, which will affect all local businesses in the area.

Gregory Hanson, CEO of Clark Fork Valley Hospital explained the ideas behind the development of the act and the impact it will have.

The Affordable Care Act will start up in 2014 and will provide insurance to everyone with no regard to pre-existing conditions. It is a guarantee issued insurance.

According to Hanson, 25 percent of Sanders County has no health insurance, over 10 percent higher than the national average.

Hanson explained that this act aimed to decrease those averages.

“It was less of a piece of legislation about health care as it was coverage and therefore health insurance,” said Hanson. “That’s really what this was trying to get at.”

The act aims to help people with the rising cost of healthcare which Hanson said sometimes rises two to four percentage points faster than inflation.

“There’s an attempt to make it affordable by limiting how much of your income will be used for health insurance premiums,” said Hanson.

A minimum standard of coverage for health insurance policies will be established and small businesses with less than 50 employees will have to put in place a Small Business Health Options program.

“Basically this is going to supply the ability for small businesses to form risk pools,” said Hanson. “In general, it’s hoped that this will help mitigate the 18 percent average difference that small employers will pay more than what larger employers pay.”

Along with this, small businesses will have additional Medicare taxes dependent on income levels and a Transitional Reinsurance Program which will pull $63 a year to help with the cost of taking in people who are already sick.

Medicaid expansion will also come into effect with the Affordable Care Act.

In Sanders County, according to the state data in 2009, there were 1,540 Medicaid recipients. With the expansion of Medicaid, Hanson stated that the 25 to 30 percent of the population below the 130 percent line of the Federal Poverty Level could be helped.

“There’s a potential of expansion in Sanders County of 1,200 to 2,100 lives that would now have health insurance,” said Hanson.

Hanson explained that the potential business effects on a local spectrum would help decrease absenteeism, and potentially decrease Workman’s Compensation costs.