Senior Issues (B) Task Force

Attachment ?

4/??/16

Draft: 12/22/15

Medigap (B) Subgroup

Conference Call

December 14, 2015

The Medigap (B) Subgroup of the Senior Issues (B) Task Force met via conference call Dec. 14, 2015. The following Subgroup members participated: Mary Mealer, Chair (MO); Steve Ostlund (AL); Tolanda Coker (AZ); Sally Frechette (DE); Linda P. Ziegler (FL); Yvonne Clearwater (IL), Stephanie McGaughey-Bowker (KY); Vern Thomas (MD); Jay Eads (MS); Al Couture (NH); Sarah L. Allen (NY); Gayle L. Woods (OR); and Jackie Myers and Jim Young (VA). Also participating were: James Brown (CA); Kathy McGill (ID); Julie Holmes (KS); Sherri Mortensen-Brown (MN); Terry Seaton (NM); Syed Rahman (NV); Katherine Melton (OH); Michael Gurgiolo (PA); Susan Anderson (SD); Vicki Trice (TN); Rachel Bowden, Laura Bryan and Peter Smas (TX); Mike Bryant (WA); Diane Dambach (WI); and Dena Wildman (WV).

The following Subgroup Statutory Working Members participated: Jane Sung (AARP); Cindy Goff (America’s Health Insurance Plans); David Korsch (Blue Cross Blue Shield Association—BCBSA); Karen Geiger (Anthem Blue Cross Blue Shield); Bonnie Burns (California Health Advocates—CHA); David Lipschutz (Center for Medicare Advocacy); Derrick Claggett (Centers for Medicare & Medicaid Services—CMS); Amy Lazzaro (CIGNA); Guenther Ruch (GHR Consulting); Joshua Goldberg and Sue Rohan (Health Care Services Corporation); Casey Schwarz (Medicare Rights Center); Galen Ullstrom (Mutual of Omaha); Michelle Muirhead (Physician’s Mutual); William Schiffbauer (Schiffbauer Law Office); Peggy Camerino (United American Insurance/Torchmark); and Dotti Outland and Tammy Sawar (UnitedHealthcare Medicare & Retirement).

1. Adopted its Nov 30 Minutes

Mr. Ostlund made a motion, seconded by Ms. Clearwater, to adopt the Subgroup’s Nov 30 minutes. The motion passed.

2. Discussed Misinformation About Medigap Plans C and F

Ms. Mealer recapped the issue regarding misinformation that Medigap Plans C & F are no longer available and agents are encouraging consumers to switch plans now or be caught in a death spiral. Ms. Mealer noted that the States of Missouri and Nebraska have issued public notices clarifying the matter. Ms. Goff stated that the States of Florida and Minnesota have also issued public notices.

3. Discussed the High Deductible Plan G

Ms. Ziegler discussed Florida’s draft to Section 9.2 of the Model Regulation to Implement the NAIC Medicare Supplement Insurance Minimum Standards Model Act (#651) and the concern about including expenses for the Part B deductible benefit being used to satisfy the High Deductible for the proposed Plan G with a High Deductible, in light of the legislative language in the Medicare Access and CHIP Reauthorization Act of 2015 (MACRA).

Mr. Ruch and Mr. Schiffbauer explained their comments to Florida’s draft, pointing out that federal law does not require that the current NAIC Model language for Plan F High-Deductible, requiring "out-of-pocket expenses" to be those expenses ordinarily paid for by the regular Plan F policy, must also govern the proposed Plan G High Deductible for "newly eligible" Medicare beneficiaries.

Ms. Goff and Ms. Burns both expressed appreciation of raising this issue and the importance of clarification for all parties, including consumers.

Ms. Burns made a motion, seconded by Ms. Camerino, to accept the language revisions drafted by Mr. Ruch and Mr. Schiffbauer. The motion passed.

Ms. Outland raised concerns whether the language as drafted limits who can buy a Plan G High-Deductible. Mr. Ruch and Mr. Schiffbauer agreed to draft new revised regulatory language to address those concerns. Ms. Mealer said the Subgroup would review and vote on these revisions on its next call.

4. Discussed Medigap Plan Options Chart

Ms. Mealer discussed her draft of the Medigap Plan Options Chart in the Model Regulation to Implement the NAIC Medicare Supplement Insurance Minimum Standards Model Act (#651) and whether any revisions made to reflect the changes for “newly eligible” Medicare beneficiaries should be done as individual charts or a combination chart.

Ms. Outland stated she is working on similar charts and would draft a revised chart for the Subgroup to review.

Ms. Mealer said the Subgroup would next meet Dec 28 via conference call.

Having no further business, the Medigap (B) Subgroup adjourned.

G:\Health and Life\Medicare\Medicare Supplement Insurance/Medigap (B) Subgroup 2015\Minutes Medigap 12-14-2015.docx