Health Care Advocacy Groups Call for Insurance Reform

Backers of health insurance reform in Illinois say companies need to put care for their recipients ahead of executive bonuses.

The AARP and state Public Interest Research Group, or PIRG, are among those urging state senators to follow the example of the Illinois House, and pass the Health Insurance Consumer Protection Act.

The measure would require insurance companies to spend at least 75% of premium dollars on medical care instead of executive salaries, marketing, or profits. 76-year old Felicia Boss of Champaign says her monthly premium went up more than 60 dollars from one year to the next without any explanation. "You have to accept it, you can't live without it," says Boss. "I know many residents where I live are looking into new plans, if they can find something. And so if there was full disclosure out there for us from the companies, at least we'd be able to choose for ourselves what would best fit our budget." The bill would also allow the Office of Consumer Health Insurance to function as a watchdog group to ensure companies aren't denying claims or hiking premiums. The measure passed the Illinois House last week. Lawmakers, including senators, are currently on break, and return two weeks from today.

A spokeswoman for Urbana-based Health Alliance Medical Plans says 90-percent of the company's premiums are going to medical care. But Jane Hayes says Health Alliance is concerned that the bill as currently written doesn't allow insurance providers to provide input to help determine company standards.