Finance committee to take up health reform as insurers slam Dems’ plans

In the latest salvo in the battle over health reform in the state, five major insurers criticized a plan by Democratic lawmakers as a threat to the sector’s jobs in the state.
 
In a letter sent to Gov. Ned Lamont last week, the CEOs of Anthem, Cigna, CVS Health, Tufts Health Plan/Harvard Pilgrim Healthcare and UnitedHealth Group said the reform plan put forward by Comptroller Kevin Lembo could threaten the insurance industry’s 50,000 jobs in the state.

“Despite our continued loyalty, depth of experience, and talent we have chosen to grow here, the legislature is once again considering a government-run health care plan that will increase costs to the State and its taxpayers,” the statement read.

The CEOs also slammed a new health insurance tax in Lembo’s plan — estimated to raise $50 million a year —  that would “increase business costs through premium increases,” the statement said. 

Lembo hit back with a statement calling out the CEOs, which he said made a combined $100 million in compensation last year.

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He said they represent an industry that has blocked repeated efforts at making health care more affordable in the state.

“I’m grateful that the industry is finally publicly stating the threats they’ve been making behind closed doors to lawmakers for years,” Lembo said. “It makes this choice stark: are legislators going to serve their constituents or do five corporations determine what becomes law in our state?”

State business groups including the Connecticut Business & Industry Association have also attacked both Lembo’s plan and a scaled-back proposal by Lamont. Both plans would place new financial burdens on businesses and cause further flight from the state, a coalition of groups argued.

This week the General Assembly’s finance committee is scheduled to take up Lembo’s proposal, Senate Bill 842. 

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