High-Risk Pools Begin to Take Effect
The Pre-existing Condition Insurance Plan (PCIP) became effective on Thursday, July 1. PCIP is HHS’s name for the temporary high-risk pools mandated under the Affordable Care Act. The new plan is designed to offer health coverage to uninsured Americans who have been unable to obtain coverage because of a pre-existing condition. It is intended to be a bridge to 2014, when the health insurance providers will be prohibited from denying coverage to adults because of a pre-existing condition.
PCIP will be operative in all 50 states and the District of Columbia but likely will vary from state-to-state. Under the Affordable Care Act, states have the option to operate their own high-risk pool (including any pool that pre-dates the new law) or elect to have HHS administer the high-risk plan. Twenty-nine states and Washington, D.C. have decided to operate their own plans. Among the 29 states are California, Connecticut, Illinois, New Jersey, New York, Pennsylvania, and Washington State. Twenty-one states have opted to have HHS operate the plan. These states include Alabama, Florida, Georgia, Massachusetts, Tennessee, Texas, and Virginia.
A brochure on PCIP can be found at www.Healthcare.gov/center/brochures/pcip.pdf.
State-specific information can be found on the new Web site, www.HealthCare.gov.