Proposal: Senate Bill 840 (Senator Sheila Kuehl)
Status: Pending in California Legislature
The California Health Insurance Reliability Act, (CHIRA), would provide fiscally sound, affordable health insurance coverage to all Californians and allow every Californian to choose his or her own physician and control costs.
Reliable Coverage: Under CHIRA, all residents are covered. No California resident will ever again lose their health insurance because of unaffordable insurance premiums, loss of a job or because of a pre-existing medical condition.
Affordable: The plan involves no new spending on health care. The system will be paid for by federal, state, and county monies that replace all premiums, deductibles, out-of-pocket payments and co-pays now paid by employers and consumers.
Efficient: CHIRA eliminates waste by consolidating the functions of many insurance companies into one comprehensive insurance plan, saving the state and consumers billions of dollars each year.
Under CHIRA, California will use its huge purchasing power to buy prescription drugs and medical equipment in bulk. It has been estimated that this model of system-wide bulk purchasing could alone save California $5.2 billion in the first year.
High Quality: Under CHIRA, consumers have the freedom to choose their doctor. Health care providers and facilities will receive fair reimbursement for all covered services they provide.
CHIRA utilizes proven financial incentives that support the delivery of high quality care, including bonuses for providers working in rural or under-served areas. The plan invests in needed health care infrastructure such as electronic claims and reimbursement systems and statewide medical databases that improve health care quality.
Benefits: Coverage includes all care prescribed by a patient’s health care provider that meets accepted standards of care and practice.
Specifically, coverage includes:
- Hospital, medical, surgical, and mental health.
- Dental and vision care.
- Prescription drugs and medical equipment, such as hearing aids.
- Emergency care including ambulance.
- Skilled nursing care after hospitalization.
- Substance abuse recovery programs, health education and translation services, including services for those with hearing and vision impairments.
- Transportation needed to access covered services, diagnostic testing.
- Hospice care.
Read Senate Bill 840. By clicking here you will be directed to the California State Senate website.