Current Status in Establishing Exchange:
State will default to federal exchange.
· In 2010 the Arizona Governor’s Office of Economic Recovery received $1 million from a federal Exchange Planning grant. In November 2011, a $29.8 million Level One Establishment grant to further secure IT infrastructure and assist in finalizing plan management functions for the exchange was awarded to the Governor’s Office.
· State Employee Benefit-United Healthcare EPO
· Pediatric Dental and Vision Supplemental Plan is the FEDVIP
· The Office of Health Insurance Exchange was set up by Governor Jan Brewer (R) in order to “organize the health insurance marketplace for easier evaluation by individuals and small businesses to acquire affordable health insurance.
· A bill to establish a state-run health insurance exchange currently remains pending in the house (HB 2783). In 2011 two similar bills were introduced but failed at the close of legislative session.
· The Governor’s Office and legal counsel continue to research and consult on non-legislative options for establishing an exchange.
· There are talks that Arizona is considering establishing an exchange as part of an existing state agency, such as the Governor’s Office, or creating a separate state agency within the Executive Branch.
· A law was enacted on April 24, 2010 that prohibited plans in a state exchange from offering abortion coverage except in cases of life endangerment or sever health issues for the mother.
· The Arizona Health Insurance Exchange Steering Committee was established to organize exchange-planning activities. Members of this committee include: Directors and senior staff from the Office of Health Insurance Exchange, the department of Insurance, the Arizona Health Care Cost Containment System, the Department of Economic Security, the Department of Health Services, and the Directors of Health Care Innovation Infrastructure Management.
· Stakeholder feedback on exchange design and operational issues is gathered through an online survey (available through their website) and five work groups:
o A health plans work group led by the Department of Insurance and focused on plan management requirements
o A health brokers and agents group that focused on broker licensing and compensation
o A tribal work group that focuses on developing outreach and education plans
o An information technology infrastructure work group that is led by the Arizona Health Care Cost Containment System
o A legislative work group
· Arizona has expressed support for adoption a market facilitator approach where the exchange would then contract with all qualified health plans that meet the given criteria. The state has also started to evaluate their options on the design and implementation of risk adjustment, reinsurance, and risk corridor programs.
· Arizona is upgrading their information technology using the “Enroll UX 2014” system
· The Department of Insurance continues to examine the state’s Essential Health Benefit options and has hired subcontractors to complete an analysis on options for the final benchmark plan for the state of Arizona.
For More Information: