UI Law Professor: Problems Facing Health Insurance Contracts Still Loom

State employees in Illinois have settled into their health insurance choices - at least for the next three months.

But a University of Illinois professor says the controversy over the state's attempt to change providers will only resurface as September 17th nears.

Law professor Richard Kaplan said the resolution that let people keep their existing Health Alliance arrangements is only a temporary fix while the courts, the Quinn administration and the state legislature play what he calls a three-level game of chess.

Kaplan said the thousands of state workers and retirees will need to pay special attention to the wrangling in Springfield before the emergency contracts expire.

"There are several parallel tracks that (Judge Brian Otwell's) opinion might get overturned, the governor might sign the two-year keep everything as it is legislation, the contracts may be completely re-negotiated," Kaplan said. "This is very unsettling because this is not some trivial fringe benefit. This is a huge part of people's compensation and it's probably one of the most intimate aspects of their employment."

Kaplan said if Governor Pat Quinn decides to veto legislation to keep the current health insurance contracts for two more years, that could set up a game of chicken where lawmakers could override the veto and nullify the new contracts.

Kaplan said many other large employers will be reconsidering their health insurance options in the months ahead in response to last year's federal health care overhaul.