Getting the Word Out on the Dangers of Proposition 45

Earlier this week, the respected Field Poll put out a survey that showed that 69 percent of registered voters in the state support Proposition 45, which would require the state insurance commissioner to approve every health insurance rate change in the state. This wasn’t tremendously surprising. Ask folks if they would like to bring down rates and they are likely to say yes. That is why this ballot initiative is so dangerous.  Scratch beneath the surface and it turns out that this proposition is actually an act of sabotage on the system that has resulted in California having some of the lowest rates and rate increases in the nation.

The Board of Trustees for Covered California, the state’s new ACA marketplace, yesterday expressed strong concerns about the proposal, but wavered on whether to enter the political fray by taking a formal position. Trustee Kim Belshé said the board should state its stance on the initiative, noting that exchange staff has found “very significant, if not grave, concerns that Prop. 45 could be detrimental to the operations of Covered California and the consumers we serve.”

The proposition certainly has something for everyone to dislike. It would consolidate a stunning amount of power over the state market in a single official and would enrich small, shake-down law firms who delay the process of getting affordable rates approved for businesses and consumers. Over the course of the next two months, the Council is going to be increasingly active in educating the public about this poorly conceived proposal.  Please spread the word to your colleagues and communities. This initiative is not what it seems.