Without More Assembly Democrats Voting for Health Reform Bill SB 1522, It Will Die in the Last Days of the Legislative Session

“Consumers in the individual market would have a better sense of their health coverage choices, since all health plans sold in the individual market would be classified into five "tiers." In this way, consumers would be able to know if a certain plan is a top-tier comprehensive plan, or a bottom-tier catastrophic plan, or something in between, and if one plan from one insurer is roughly comparable with another plan by another insurer. This provides some standardization and simplification of the marketplace, while preserving a wide range of choices for consumers.

“To allow real price comparison, Insurers would be required to offer five "benchmark" plans, one in each tier. The bill would enable consumers to do cross-insurer price shopping, to make apples-to-apples comparisons, with the confidence of knowing that benchmark plans in a given tier have similar cost-sharing, benefits, and other plan features. The benchmark plan would help define the tier, by being the lowest-price plan in a given tier.

“The bill would eliminate some "junk" insurance, products that are coverage in name only, that provide such limited benefits or leave consumers so financially exposed, that the product is not of value. Such plans, deceptively offer "coverage" but leave consumers facing major gaps in coverage and significant out-of-pocket costs. Insurers would not be able to sell new plans that do not meet the minimum benefit standards.”

Yesterday, when it was brought up for an Assembly Vote, despite being on call for hours and the opportunity to vote for it, Speaker Emeritus Fabian Nunez and 7 Democratic Assemblymembers did not vote. One of those members, Nell Soto is seriously ill and not attending the remaining days of the session. Five Democrats joined 31 Republicans in voting against it. It failed on a 36-36 tie vote, 5 votes short of the necessary 41 votes to pass it.

Yet when AB X 1 1 had these provisions, it passed the Assembly 46 to 31, with all Democrats supporting it except for Soto who was ill then and not voting and with one vacancy. Why have 5 Democrats, Felipe Fuentes (who was elected to fill a vacancy after AB X 1 1 was voted on) and Nicole Parra, Jesse Solorio, Alberto Torrico, and Cathleen Galgiani voted against SB 1522? And why did Democrats Charles Calderon, Fabian Nunez, Kevin De Leon, Tony Mendoza, Anthony Portantino, and Wayne Furutani (who filled a vacancy after his predecessor voted for AB X 1 1) vote against SB 1522 yesterday?

The bill has been under intense lobbying to defeat it by Blue Cross and the insurance industry. Is this part of inter house rivalry with lingering resentment for the Senate’s refusal to pass AB X 1 1 in January? For either of these reasons, the failure to pass SB 1522 to help California’s health consumers see what it is that they are buying is a public policy set back that will be on their records. They have a chance to vote for this bill on its reconsideration today or, if in session tomorrow, the last day it can be passed under our state constitution. We’ll be watching, along with other Californians. Five more votes is all that is needed.