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The BenefitsLink Newsletter -
Welfare Plans Edition
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May 16, 2001
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Opposing Sides Assail 'Compromise' Patients' Rights Bill
Excerpt: "With encouragement from the White House, three senators yesterday introduced a patients' rights proposal that would create a slender right to sue health plans and promise protections to all Americans. But the legislation, portrayed by its authors as a 'balanced' compromise, immediately escalated the squabbling that has long hobbled efforts to create federal safeguards for people in HMOs." (Washington Post)

The Health Insurance Portability and Accountability Act: Security and Privacy Requirements
Excerpt: "The security and privacy requirements of HIPAA will require pharmacies to review their practices regarding the storage, use, and disclosure of protected health care information." (Medscape; free registration required)

HHS Provides More Online Answers on HIPAA Transactions and Code Sets Rules
Excerpt: "Enrollment transaction between self-insured employer and third-party administrator; Line maximums and split claims; Encounter transaction in shared information systems; Referral authorization in shared information systems" (U.S. Department of Health and Human Services)

Federal Judge Hands Insurers a Partial Victory In HMO Lawsuit Dismissal
Excerpt: "In a key ruling on 20 lawsuits challenging the business practices of eight top HMOs, Judge Federico A. Moreno of U.S. District Court in Miami, Fla., threw out racketeering and other charges in response to a motion filed by the insurers to dismiss the lawsuits." (insure.com)

Bush Endorses HMO Reform
Excerpt: "Tennessee Republican Sen. Bill Frist -- the only licensed physician in the Senate -- today formally introduced his new bill, which would limit damages a patient could receive when suing a health maintenance organization for malpractice." (ABCNews.com)

Bush Backs Limited Patients' Rights Bill; Democrats Say It's Too HMO-Friendly
Excerpt: "President Bush added his voice to a politically charged battle over managed-care health plans Tuesday by endorsing limited protections for patients.... It would permit lawsuits only in federal courts, not state courts where plaintiffs usually prefer to bring civil actions, and limit damages to $500,000. It also would require that patients first win an external administrative appeal process before going to court." (USA Today)

CalPERS Health Benefits Committee Recommends Self-Funded Health Plan Rates for 2002
Press release. Excerpt: "The Committee recommended that the Board of Administration adopt a 22.4 percent premium increase for PERSCare and a 15.0 percent increase for PERS Choice for the 2002 calendar year. Supplemental coverage for CalPERS retirees would increase by 15.9 percent for members of PERSCare and 16.1 percent for members of PERS Choice under the proposal..." (Business Wire via Excite News)

Patients' Rights Plan Backed by Bush Faces Fight
Excerpt: "President Bush backed a patients' bill of rights on Tuesday that would allow patients to sue their health plans for misconduct but would set strict limits on court-awarded damages, drawing fire from Democrats and some Republicans, who said it stood little chance of being passed." (Reuters via Excite News)

New HMO Guidebook: Life Raft for Patients in California
Excerpt: "The free 80-page guide ... is designed to help people navigate their way through the complex maze of health care rights and regulations. A number of sweeping health care reforms went into effect Jan. 1, but consumer advocates say most people are unaware of those new rights. For example, patients have a right to an independent medical review if their request for treatment is denied by their insurer. They also have the right to sue their HMO." (San Francisco Chronicle)

Norwood Rips Bush's Patients' Rights Bill
Excerpt: "Rep. Charlie Norwood (R-Ga.), one of the earliest proponents of patients' rights, sharply attacked the White House plan introduced Tuesday. The new bill on patients' rights 'protects HMOs, not patients,' Norwood said. 'This bill cannot pass the Senate. If it is brought up in the House, I will personally exhaust every effort to defeat it.'" (Atlanta Journal-Constitution)

Consumers Union: Frist-Breaux-Jeffords Patients' Bill Raises Concerns
Excerpt: "... it appears that the Frist-Breaux-Jeffords bill would cut back on the amount of legal accountability imposed on health maintenance organizations (HMOs) by the McCain-Kennedy-Edwards bill. We will scrutinize the details of this new bill carefully, but preliminary reports suggest that it is more concerned with protecting managed care companies than protecting patients." (Consumers Union press release)

Patients' Rights Bill Advances In Tennessee
Excerpt: "Tennesseans who think they have been denied necessary medical care by their health insurance plans could appeal under a streamlined review process and then have the option to sue under legislation approved by a House panel yesterday." (The [Nashville] Tennessean)

New Bill on Patients' Rights Is Both Hailed and Criticized
Excerpt: "President Bush warmly endorsed a new bill defining patients' rights [on Tuesday, May 15], but the legislation was immediately attacked, for different reasons, by Democrats and Republicans, health insurance companies and employers." (New York Times; free registration required)

(Following items also appear in Retirement Plans Edition)


Striking Transformations for Nation's Families and Seniors As Population Ages
Excerpt: "Perceptions aside, the 2000 population profile released today by the U.S. Census Bureau [shows the] fastest-growing age group in the last decade was Americans 45 to 54; their numbers increased to 37.7 million, a jump of 49.4 percent. Right behind were those 85 and over. This category, one of 13 age groups tracked by the census, included more than 4.2 million Americans in 2000, an increase of 37.6 percent from the 3 million counted in 1990." (The [Bergen County, N.J.] Record)

Investors Questioning Executive Pay
Excerpt: "With stocks still struggling to recover from last year' s slide and business profits in the doldrums, unhappy shareholders at many corporations are taking a closer look at how much executives are pocketing in salary, stock options and other compensation. They don't like what they' re seeing." (Associated Press via StarTribune.com)

Opinion: Siebel Systems Pays a Lot, Discloses a Little
Excerpt: "Siebel Systems Inc.'s chief executive, Thomas Siebel, appears bent on besmirching a platinum performance record with pay excess and tawdry proxy disclosure practices. The San Mateo, California-based maker of software for managing customer service has been an absolutely mouthwatering investment, despite the trip through Death Valley for many technology stocks." (Graef Crystal, on Bloomberg.com)

Options Table: the Exchange Gang
Excerpt: "In the latest attempt to retain talent and avoid compensation charges, more companies are offering employees the chance to exchange stock options for a new grant six months and one day later.... The following chart includes some companies that have recently adopted the '6&1' trend as well as those that are using other methods for tackling underwater options." (CFO.com)




Newly Posted or Renewed Job Openings (Post Yours!)
DB/DC Plan Administrator for Federation Pension Bureau, Inc.
in NY
Retirement Plan Administration Specialist for Lauren Davis & Company Retirement Services, Inc.
in IN
Client Manager for Benefit Services Corporation, a subsidiary of METLIFE
in GA
DC/401(k) Administrator for dpb&z, inc.
in PA



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