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The BenefitsLink Newsletter -
Welfare Plans Edition
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August 2, 2001 - 6,168 subscribers
Today's sponsor: The Profit Sharing/401(k) Council of America (PSCA) (click)


   PSCA, the nationally recognized organization that was
   instrumental in bringing you the 401(k) plan, invites
   you to its 54th National Conference and Exhibition,
   September 12-14, 2001 in beautiful Scottsdale, Arizona.
   You'll find in-depth analysis and practical application
   of pension reform regulations; over 30 presentations,
   workshops and discussion groups; and networking
   opportunities with plan sponsors who face the same
   issues.   Click here or visit www.psca.org for more
   information!

KaiserNetwork.org to Provide Live Web Coverage of House Floor Debate on Patients' Rights Bills
Excerpt: "The House is scheduled [today] to consider legislation similar to the Senate's version of the Patients' Bill of Rights ... There are two House bills on the table: a GOP backed Patients' Bill of Rights Act of 2001 (H.R.2315) sponsored by Rep. Ernie Fletcher (R-KY) and a recently amended Bipartisan Patient Protection Act of 2001 (H.R.2563), similar to the Senate version, sponsored by Reps. Greg Ganske (R-IA), John D. Dingell (D-MI), and Charlie Norwood (R-GA)." (KaiserNetwork.org)

Text of Bush and Norwood Remarks After Reaching Patients' Rights Compromise
Excerpt: "The following is a transcript of the President's and Rep. Charles Norwood's remarks on the Patients' Bill of Rights ..." (White House via U.S. Newswire, published by Yahoo! Politics)

New York Times Coverage of Bush-Norwood Patients' Rights Agreement
Excerpt: "Mr. Bush made a significant concession, agreeing that patients denied care should be able to hold their health plans accountable in state courts, not in federal court as he had wanted.... Under the agreement, patients could sue an HMO even if independent medical reviewers had found no justification for their claims. But in those cases, the patients would have a higher burden of proof than if they had prevailed in the external review process." (New York Times; free registration required)

CNN Coverage of Bush-Norwood Patients' Rights Agreement
Excerpt: "The development stunned key players in the patients' rights issue on Capitol Hill. Many of Norwood's allies, including Sen. Ted Kennedy, D-Massachusetts, did not even know Norwood was at the White House." (CNN.com)

AP Coverage of Bush-Norwood Patients' Rights Agreement
Excerpt: "According to a one-page statement released by the administration, Bush agreed to open the door a little more to more lawsuits and Norwood agreed to close it a little. The HMOs could be sued in state courts, but the cases would be governed by rules used in federal court system that would require patients to exhaust all of their appeals to outside reviewers before going into court." (Associated Press via Yahoo! News)

Washington Post Coverage of Bush-Norwood Patients' Rights Agreement
Excerpt: "White House officials said it calls for patients to be able to sue health plans in state courts under a new set of federal restrictions. Suits against employers who buy health coverage would be allowed only in federal court ... patients could win up to $1.5 million in non-economic damages such as pain and suffering in either court. They also could win up to $1.5 million in punitive damages ... if a patient [claim is upheld by] an outside appeals board but the plan [refuses to pay.]" (Washington Post)

Consumers Union Compares Fletcher Bill to Ganske-Norwood-Dingell Patients' Rights Bill
Excerpt: "The press and members of Congress have primarily focused on the liability provisions in the two bills, and this is indeed an important area. Consumers need to be able to hold their HMOs legally accountable for the decisions they make. The Norwood-Dingell-Ganske-Berry bill accomplishes this goal; the Fletcher bill falls far short of it. But there are a number of other flaws in the Fletcher bill that have not received adequate attention in the media or on Capitol Hill." (Consumers Union)

New Poll: Doctors Lie To Protect Patient Privacy
Excerpt: "A mailed survey of 344 physicians conducted by the Association of American Physicians and Surgeons (AAPS) shows almost unanimous opposition to the HHS privacy rules, scheduled for full implementation in 2003.... Nearly 87 percent reported that a patient had asked that information be kept out of the record, and nearly 78 percent of physicians said that they had indeed withheld information from a patient's record due to privacy concerns." (Association of American Physicians and Surgeons, Inc.)

Senate Panel OKs Mental Health Bill
Excerpt: "The Senate health committee approved a plan that many lawmakers say closes a loophole in a federal law meant to help patients with mental disorders. The plan approved Wednesday would force insurers to cover mental health conditions as they would any other medical problem." (Associated Press via Excite News)

Mental Health Parity Coverage to Cost $1.32 Per Month, PricewaterhouseCoopers Reports
Press release. Excerpt: "Mental health coverage on par with physical health coverage will cost employers just 1 percent, or $1.32 per enrollee per month, according to a PricewaterhouseCoopers (PwC) actuarial analysis of legislation S. 543, the Mental Health Equitable Treatment Act of 2001." (PR Newswire via Excite News)

American Benefits Council Opposes Expanded Mental Health Parity Bill
Excerpt: "I am writing to urge that the Senate Health, Education, Labor and Pensions Committee not approve the Domenici-Wellstone 'Mental Health Equitable Treatment Act of 2001' (S. 543). As you know, this bill would prohibit an employer-sponsored health benefit plan from imposing any treatment limitation or financial requirement on mental health benefits unless similar requirements are imposed on medical and surgical benefits." (American Benefits Council)

Health Education and Preventative Care on the Rise In Top U.S. Companies
Excerpt: "An increasing number of American employers are turning to education and preventative measures to control rising health care costs, according to a newly released study by Hewitt Associates ... Hewitt's study, 'Health Promotion/Managed Health Provided by Major U.S. Employers in 2000,' surveyed 1,020 U.S. companies, mostly Fortune 1000 companies." (insure.com)

Most Managed Care Plans Actively Engaged in Measuring Quality
Excerpt: "Even if Americans win the right to sue their HMOs, it doesn't mean that the quality of care provided by the nation's managed care organizations will get any better, a Penn State researcher says." (Medscape; free registration required)

Study Reveals What's "Hot" for Benefit Plan Offerings
Excerpt: "An important part of your benefits planning strategy is anticipating--and responding to--market changes and demands. Recent research from the Society for Human Resource Management (SHRM) shows what's in, what's out, and how you can target your programs to stay competitive." (IOMA's Report on Managing Benefits Plans)

(Following items also appear in Retirement Plans Edition)


Employee Stock Option Lawsuits: What We Can Learn From This Major Trend
Excerpt: "You should not be afraid to use stock options and ESOPs. In fact, you need these programs now more than ever. However, you must practice sophisticated risk management lest you get dragged into litigation." (Foundation for Enterprise Development)




Newly Posted or Renewed Job Openings (Post Yours!)
ERISA Specialist for Transamerica Life Companies
in CA
Education Specialist II for ADP
in NJ

Subscribe to the Retirement Plans Edition, too (click)


Copyright 2001 BenefitsLink.com, Inc., but you may freely distribute this email newsletter in whole. This newsletter is edited by David Rhett Baker, J.D.