11 July 2013

Smokers Benefit From Software Glitch by Affordable Care Contractor(s)

The glitch is noteworthy, but more so because HHS is reporting that it will a year to fix.

Read more about this flaw in a Yahoo Finance report highlighted by Soulskill on Slashdot. This glitch will, for what is estimated to be a year, prevent insurers from charging more for smokers. Such surcharges are allowed under the law.  The analysis suggested by Yahoo Finance points out that this is likely to have an impact on rates for older smokers. The law would have permitted, for example, a rate surcharge of as much as $4,500/yr additional above the "silver" plan for a 64 year old customer. That would bring such a person's annual cost to $13,600, according to the Kaiser Health Reform Subsidy Calculator, cited by Yahoo.

Instead, insurers would not be able to add the surcharge.

Anyone know which contractor is responsible for this system? No doubt there are ripple effects throughout the design, but a year's delay to implement this business rule is mind-numbing.

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