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CA Department of Insurance

State insurance commissioners urge Senate and House to oppose Graham-Cassidy Bill

News: 2017 Press Release

For Release: September 25, 2017
Media Calls Only: 916-492-3566
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State insurance commissioners urge Senate and House  to oppose Cassidy-Graham Bill
36 current and former insurance commissioners sign opposition letter
SACRAMENTO, Calif. — In a show of solidarity to protect consumers, 11 state insurance commissioners, including California's Dave Jones signed a joint letter urging Senate and House leaders to oppose the Cassidy-Graham Bill and encourage a bipartisan bill to improve market instability. Insurance regulators from Pennsylvania, Hawaii, New Mexico, Rhode Island, Washington, Minnesota, District of Columbia, Colorado, New York, Oregon, and 25 former insurance commissioners all signed the letter, which in part reads:

"The Cassidy-Graham bill would increase the number of people without health coverage and severely disrupt states' individual insurance markets, with sharp premium increases and insurer exits likely to occur in the short term and over time. The bill would immediately (in fact, retroactively) eliminate the individual mandate, which serves as a key incentive for healthier people to enroll in coverage, and would put no alternative incentives in place. In 2020, the Cassidy-Graham bill would eliminate both federal subsidies that help people afford private plans in the individual market and funding for expanded Medicaid, replacing them with a reduced block grant that would fail to keep up with growing costs and needs. All 50 states and the District of Columbia would have to set up their own coverage programs and make significant changes to insurance market rules by January 1, 2020 – an unreasonable timeline that hampers states' review of premium rates and insurers' efforts to price and plan for the future."

Read full letter here.

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The California Department of Insurance, established in 1868, is the largest consumer protection agency in California. Insurers collect $310 billion in premiums annually in California. Since 2011 the California Department of Insurance received more than 1,000,000 calls from consumers and helped recover over $469 million in claims and premiums. Please visit the Department of Insurance website at Non-media inquiries should be directed to the Consumer Hotline at 800.927.4357. Telecommunications Devices for the Deaf (TDD), please dial 800.482.4833.

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