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Using insurance standards and policy levers to build a high performance health system
Michael Bailit1, Christopher Koller
1Bailit Health Purchasing, LLC, USA. mbailit@bailit-health.com
Issue Brief (Commonwealth Fund)
|July 10, 2010
Summary
Rhode Island
Area of Science:
- Health Policy and Management
- Health Insurance Regulation
- Healthcare Reform
Background:
- State health insurance regulatory authority is being used in unprecedented ways to drive health system reform.
- The Rhode Island Office of the Health Insurance Commissioner (OHIC) was established in 2004 with unique regulatory powers.
- OHIC is mandated to guide insurers toward policies enhancing health system accessibility, quality, and affordability.
Purpose of the Study:
- To examine Rhode Island's innovative use of state insurance regulatory authority for health system transformation.
- To analyze the implementation of OHIC's 2009 standards aimed at improving healthcare affordability.
- To assess the potential of state insurance regulation to foster significant changes in healthcare delivery.
Main Methods:
- Analysis of Rhode Island's legislative actions establishing OHIC's regulatory authority.
- Review of OHIC's 2009 implemented standards for health insurers.
- Examination of requirements for increased primary care investment, medical home expansion, and electronic medical record adoption.
Main Results:
- Rhode Island's OHIC utilized its regulatory authority to implement affordability standards in 2009.
- Insurers are now required to boost primary care investment, adopt the chronic care model medical home, and support electronic medical records.
- These measures represent a novel approach to leveraging state insurance regulation for systemic healthcare improvement.
Conclusions:
- State insurance regulatory authority can be a powerful tool for driving health system reform.
- Rhode Island's initiative demonstrates a proactive strategy to enhance healthcare affordability and delivery through insurance regulation.
- The findings suggest that similar regulatory approaches could be explored in other states seeking healthcare transformation.
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