Otter explains why Idaho’s opting out of high-risk insurance pool

By Brad Iverson-Long
May 4th, 2010
Idaho Gov. Butch Otter
Idaho Gov. Butch Otter

Gov. Butch Otter said Idaho can’t pay for a second high-risk insurance pool, which is why the state is opting out of a federal program that’s part of health care legislation recently approved by Congress.  The high-risk pool is for individuals who have been turned down from health insurance companies due to pre-existing health conditions.

“Put simply, Idaho cannot afford to subsidize a second high-risk pool program, especially during these difficult economic times,” Otter said in his letter to U.S. Secretary of Health and Human Services Kathleen Sebelius explaining Idaho’s decision to not take federal funds for a high risk insurance pool.

Idaho already has a high-risk insurance pool run by the Idaho Department of Insurance (DOI) that covers approximately 1,500 people.  DOI estimates that 33,400 Idahoans could qualify for the new federal pool, which would last until 2014.  The federal government would pay Idaho $24 million to provide high-risk insurance to those people, which DOI said would only pay for one or two months of coverage, rather than four years.

“Somebody will have to pay for that subsidy, and it’s going to be taxpayers,” Otter said in a prepared statement.  “We continue to question the constitutionality of this law and remain concerned about the cost imposed on the citizens of Idaho.  We aren’t the only ones who have decided we just can’t afford this costly federal mandate.”  At least 17 other states have refused to run federally-backed insurance pools for those with preexisting conditions, including Nevada and Wyoming, according to The Washington Post.

7 Responses to “Otter explains why Idaho’s opting out of high-risk insurance pool”

  1. TomB. says:

    Idaho, has already proven itself to be moral and responsible when it established its own state high risk pool.

    The federal government mandated high risk pools be accessible to all Americans, who fit the criteria, because too many Americans living in states who don’t give a darn about savings lifes of those deemed “uninsurable” (for whatever ridiculous reason an insurance company dreams up.) Too many individuals over the age of 50 are denied access to health care insurance at any price, because insurance companies don’t want to cover older patients (period). Some states have doomed their elderly to financial ruin and needless early deaths because they are too closely aligned with the insurance industry. They just as soon hand you an ice float to help you along your way.

    You can’t get emergency room Chemo. therapy, annual breast or prostate exams.

    The new federal high risk pools are going to save lives. Irresponsible states like Georgia are going to see the greatest benefits of the new federal law. Did you ever think you live long enough to see the Democratic Party become “The Pro-Life party”?

  2. KathyB says:

    The governor and the rest of the politicians making the decision to deny tens of thousands of Idahoans affordable health insurance already have free health insurance–funded by Idaho taxpayers. They. Don’t. Care.

  3. [...] provide medical coverage to people with pre-existing conditions, which will also last until 2014.  Idaho Gov. Butch Otter declined to participate in that program, and Attorney General Lawrence Wasden is also suing to overturn parts of the federal health care [...]

  4. [...] provide medical coverage to people with pre-existing conditions, which will also last until 2014.  Idaho Gov. Butch Otter declined to participate in that program, and Attorney General Lawrence Wasden is also suing to overturn parts of the federal health care [...]

  5. [...] pool for people with pre-existing conditions with $24 million over the next four years.  However, Otter said he opted out of the federal plan in part because that $24 million wouldn’t be enough mo…, and that state taxpayers would have to pick up the tab.  Idaho is one of 18 states to opt out of [...]

  6. [...] Idaho is one of 18 states to opt out of the insurance pool.  Read Otter’s comments about why he chose to opt out here. [...]

  7. [...] for the plan.  Many of the PPACA’s provisions come into effect in 2014.  The state has already balked at taking federal money for a high risk insurance pool, though the Idaho Department of Insurance has looked into creating a health insurance exchange, [...]