<html><head><style type="text/css"><!-- DIV {margin:0px;} --></style></head><body><div style="font-family:times new roman,new york,times,serif;font-size:12pt"><div>Sorry Donovan, but I know of at least two faculty members in the last ten years who were worried about the $1 million lifetime cap. Ten years of a chronic disease like cancer can run up some remarkable medical bills. Someone with a $100,000 annual policy is seriously uninsured against a catastrophic accident or illness. Bankruptcy is not a preferred means of settling bills, as it has long term effects on your life and career. Why are Americans the only people in the developed world to face the loss of all worldly assets through the bad luck of accident or disease?<br><br>Ron Force<br>Moscow Id USA <br></div><div style="font-family: times new roman,new york,times,serif; font-size: 12pt;"><br><div style="font-family: times new roman,new york,times,serif; font-size:
12pt;"><font face="Tahoma" size="2"><hr size="1"><b><span style="font-weight: bold;">From:</span></b> Donovan Arnold <donovanjarnold2008@yahoo.com><br><b><span style="font-weight: bold;">To:</span></b> Moscow Vision 2020 <vision2020@moscow.com>; Saundra Lund <v2020@ssl.fastmail.fm><br><b><span style="font-weight: bold;">Sent:</span></b> Monday, September 7, 2009 4:25:49 PM<br><b><span style="font-weight: bold;">Subject:</span></b> Re: [Vision2020] UI Student Health Insurance Question<br></font><br><meta http-equiv="x-dns-prefetch-control" content="off"><table border="0" cellpadding="0" cellspacing="0"><tbody><tr><td style="font-family: inherit; font-style: inherit; font-variant: inherit; font-weight: inherit; font-size: inherit; line-height: inherit; font-size-adjust: inherit; font-stretch: inherit; -x-system-font: none;" valign="top"><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">Saundra,</font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">I do not like to post on the V because people steal your identity, post using your name, and it gets hostile and mean in here. I think this ruins the reputation of good people, and turns nice people into rude people. Moscow is a wonderful town, with wonderful people. I think that the conversations on the V reflect a negative and inaccurate image of the Palouse Community and what the people are really like. However, I am making an exception here because Health Care is an important issue to me. </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">As I understood the case to be, the reason faculty, staff, and students have to pay such high premiums with high deductibles for insurance is because it has a $1 million in lifetime coverage and $500,000 per annual period.<span style=""> </span>BSU, LCSC, ISU, NIC, College of Idaho , NNU, don’t have this. BSU, for example is only $100,000. A typical PPO Blue Cross plan only has about $250,000. </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">This level of coverage for UI students and faculty is excessive and not necessary for two reasons. First, anyone who endures $1 million in medical damage and is not a millionaire would simply declare bankruptcy. Students and teachers usually are not millionaires, so have no assets worth $1 million to protect from medical debt collects, except maybe a house which would be protected in bankruptcy. And second, anyone who endured $1 million in medical damages probably would not be at fault and have other avenues to pay for such expenses. </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">My understanding is that the $1 million coverage is to cover the UI from costly civil suits and Gritman from having to cover the costs of underinsured and uninsured college students. </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">Other colleges and universities around the state have a general population of non-students to absorb financial losses and several hospitals to spread the costs out. Moscow is mostly students and poorly paid teachers and service workers who cannot make up for indigent medical care, and has only one hospital to endure the losses, Gritman. </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">UI insurance also is higher because it doesn’t have a pre-existing condition exclusions like other health insurance companies do. UI must cover every single student taking more than one class that isn’t already covered by a $500,000 policy.</font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">The third reason that UI has to pay more is because insurance is virtually mandatory, you have to purchase it, and so they can charge just about anything they want and you have to pay it. If health insurance was optional, insurance companies would have to lower their rates to attract students and faculty on the lower end of the pay scale, nor would most people buy one million in coverage. </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">In my opinion, the simplest way to legally make insurance more affordable would be get the Latah County Government to divert county funds away from Gritman that go to pay for indigent care and return it to University Staff, Students, and Faculty that pay the insurance. Gritman is a non-profit. Or, reduce the $1,000,000 to closer to $100,000 which would be reasonable. </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">Gritman benefits from your high premiums and sky-high deductibles because it still gets Idaho State dollars for indigent care regardless of if it uses those funds for indigent care. </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font size="3"><font face="Times New Roman"><span style=""> </span>The County benefits from your high premiums and sky-high deductibles because it doesn’t have to use funds from the general fund to support Gritman, it is more than self sufficient. </font></font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">The University benefits from your high premiums and sky-high deductibles because it is immune from the costs of medical lawsuits. </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">Local businesses and property owners benefit from it because the County doesn’t have to extract as much money from them in property taxes to pay Gritman for the medical care of indigent students and poorly compensated UI faculty and staff. </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">Everyone benefits from this plan, except of course, students, faculty, and staff who have to pay those high premiums and sky-high deductibles. </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">Saundra, while many teachers, staff, and students will support your well intentioned efforts, I don’t think you will find many powerful allies in this battle because most of the influential people in Latah are benefiting from this plan directly or indirectly in some way or another and will fight you to keep it in place. </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">My suggestion however, would be to petition to change county law because there are only two people you need to convince to change the law. </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">Best of Luck to You,</font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3"> </font>
</p><p style="margin: 0in 0in 0pt;" class="MsoNormal"><font face="Times New Roman" size="3">Donovan Arnold</font><br><br>--- On <b>Sun, 9/6/09, Saundra Lund <i><v2020@ssl.fastmail.fm></i></b> wrote:<br>
</p><blockquote style="border-left: 2px solid rgb(16, 16, 255); padding-left: 5px; margin-left: 5px;"><br>From: Saundra Lund <v2020@ssl.fastmail.fm><br>Subject: [Vision2020] UI Student Health Insurance Question<br>To: "'Moscow Vision 2020'" <vision2020@moscow.com><br>Cc: donovanjarnold2005@yahoo.com<br>Date: Sunday, September 6, 2009, 10:11 PM<br><br>
<div id="yiv911566625">
<style>
<!--
#yiv911566625
filtered #yiv911566625 {font-family:"Cambria Math";panose-1:2 4 5 3 5 4 6 3 2 4;}
filtered #yiv911566625 {font-family:Calibri;panose-1:2 15 5 2 2 2 4 3 2 4;}
#yiv911566625
#yiv911566625 p.MsoNormal, #yiv911566625 li.MsoNormal, #yiv911566625 div.MsoNormal
{margin:0in;margin-bottom:.0001pt;font-size:11.0pt;font-family:"Calibri", "sans-serif";}
#yiv911566625 a:link, #yiv911566625 span.MsoHyperlink
{color:blue;text-decoration:underline;}
#yiv911566625 a:visited, #yiv911566625 span.MsoHyperlinkFollowed
{color:purple;text-decoration:underline;}
#yiv911566625 p.MsoPlainText, #yiv911566625 li.MsoPlainText, #yiv911566625 div.MsoPlainText
{margin:0in;margin-bottom:.0001pt;font-size:11.0pt;font-family:"Arial", "sans-serif";}
#yiv911566625 span.PlainTextChar
{font-family:"Arial", "sans-serif";}
#yiv911566625 .MsoChpDefault
{}
filtered #yiv911566625 {margin:1.0in 1.0in 1.0in 1.0in;}
#yiv911566625 div.Section1
{}
-->
</style>
<div class="Section1">
<p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;">Visionaries:</span></p></div>
<p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;"> </span></p></div>
<p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;">Yes, I am on a health insurance kick since finding out the cost for UI employee families is so much higher that it has financially forced something like 68% of employees into a high deductible plan while employees at LCSC, BSU, and ISU continue to have access to quality affordable health insurance.</span>
</p><p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;"> </span>
</p><p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;">I've heard rumblings about displeasure with the student health insurance situation. Donovan, if you're still reading, could you please refresh our memories about what your concerns were?</span>
</p><p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;"> </span>
</p><p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;">In any case, when reading through information I was able to find in State Board of Education (SBOE) minutes, it looks like LCSC, BSU, & ISU joined together to form a Student Health Insurance Plan (SHIP) Consortium last fall.</span>
</p><p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;"> </span>
</p><p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;">Does anyone know why the UI isn't participating in the SHIP Consortium? As always, those who don’t wish to comment publicly can be assured of confidentiality regarding anything you share with me privately.</span>
</p><p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;"> </span>
</p><p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;">My concern is that by not participating in a larger pool, UI students will face the same kind of ***significantly higher*** premiums and inferior coverage UI employees have been slammed by the last 18 months or so. It’s a no brainer that if mandatory student health insurance costs go the way of employee health insurance costs at the UI, this would have a negative impact on the UI’s ability to competitively recruit and retain students.</span>
</p><p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;"> </span>
</p><p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;"> </span>
</p><p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;">Saundra Lund</span>
</p><p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;"> </span>
</p><p class="MsoPlainText"><span style="font-family: 'Calibri','sans-serif'; color: rgb(31, 73, 125); font-size: 12pt;">Here’s some interesting info that was presented to the SBOE in April:</span>
</p><p class="MsoPlainText"><span style="font-size: 12pt;"><a rel="nofollow" target="_blank" href="http://www.boardofed.idaho.gov/meetings/2009/04_16_09/08_BAHR-FIN_April_09.pdf">http://www.boardofed.idaho.gov/meetings/2009/04_16_09/08_BAHR-FIN_April_09.pdf</a></span>
</p><p class="MsoPlainText"><span style="font-size: 12pt;">(pp 57-58)</span>
</p><p class="MsoPlainText">
</p><p class="MsoPlainText">
</p><p style="margin-left: 0.5in;" class="MsoNormal"><b><span style="font-family: 'Arial','sans-serif';">BACKGROUND/DISCUSSION</span></b>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">As healthcare costs continue to soar, pooling to manage costs through a purchasing consortium is becoming more common among institutions of higher education. When universities band together to purchase student insurance, they can increase their purchasing power and provide higher quality care while increasing the predictability and stability of costs. To that end, in the fall of 2008, Boise State University, Idaho State University, and Lewis and Clark State College joined together to form a Student Health Insurance Plan (SHIP) Consortium.</span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';"> </span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">In addition to piloting the concept of a consortium, the institutions, in conjunction with the Idaho Division of Purchasing, are implementing a procurement</span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">methodology focused on obtaining the “Best Value Vendor” based on research performed at Arizona State University (ASU). ASU has been engaged, using grant funding, to consult with the Consortium on this new methodology.</span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';"> </span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">Once formed, the Consortium developed a project plan and identified major stakeholders, several of whom are now part of the core project team. The project has been divided into three phases:</span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';"> </span>
</p><p style="margin-left: 1.5in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">1. Request for Information (RFI) - Completed</span>
</p><p style="margin-left: 2in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">a. An RFI was developed to identify potential barriers to a successful Consortium and to educate the vendor community about the procurement. As part of the RFI, the Consortium held both stakeholder and vendor informational meetings.</span>
</p><p style="margin-left: 1.5in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">2. Request for Proposal (RFP) – Underway</span>
</p><p style="margin-left: 2in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">a. The Consortium is currently documenting baseline performance metrics and a measurement plan. The draft RFP will quickly follow.</span>
</p><p style="margin-left: 2in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">b. A final RFP will be issued at the end of July 2009</span>
</p><p style="margin-left: 1.5in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">3. Proposal Phase</span>
</p><p style="margin-left: 2in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">a. Pre-award is scheduled for November with the final contract to be presented to the Board in April 2010 for approval.</span>
</p><p style="margin-left: 0.5in;" class="MsoNormal"><b><span style="font-family: 'Arial','sans-serif';"> </span></b>
</p><p style="margin-left: 0.5in;" class="MsoNormal"><b><span style="font-family: 'Arial','sans-serif';">IMPACT</span></b>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">In addition to managing costs while maximizing coverage, the Consortium is using this project as an opportunity to pilot the Best Value procurement process. The Best Value process embeds post-award reporting to continually measure performance throughout the life of the contract. Both the contractor and the institutions are reviewed to evaluate efficiency in delivery of services.</span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';"> </span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">The benefits of using the Best Value process include increased accountability of vendors and institutions, streamlined internal processes focused on value and efficiency, reduced disputes and litigation, and more transparent processes.</span>
</p><p style="margin-left: 0.5in;" class="MsoNormal"><b><span style="font-family: 'Arial','sans-serif';"> </span></b>
</p><p style="margin-left: 0.5in;" class="MsoNormal"><b><span style="font-family: 'Arial','sans-serif';">STAFF COMMENTS AND RECOMMENDATIONS</span></b>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">The RFI vendor meeting was held on January 9, 2009 for the purpose of </span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';"> </span>
</p><p style="margin-left: 1.5in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">i. Introducing the SHIP Consortium project to potential vendors (20 individuals were in attendance from many vendors)</span>
</p><p style="margin-left: 1.5in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">ii. Introducing the Best Value concept to vendors</span>
</p><p style="margin-left: 1.5in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">iii. Answering questions and addressed comments</span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';"> </span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">Representatives from each school, DOP and from 4 vendors attended the Best Value Conference by Arizona State in Phoenix in February.</span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';"> </span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">Institution representatives will present a brief presentation and will be available for questions.</span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';"> </span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">This consortium of institutions joining together to purchase student insurance, which will provide higher quality care while increasing the predictability and stability of costs, is an example of a method to increase the purchasing power of the institutions that can applied in other areas of operations.</span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';"> </span>
</p><p style="margin-left: 1in;" class="MsoNormal"><span style="font-family: 'Arial','sans-serif';">Currently the University of Idaho is not contemplating joining the Consortium and is requesting the Board approve a 5-year contract for student health insurance in a separate agenda. Even though University of Idaho may not be part of the initial statewide SHIP Consortium, they should be able to join at a later time should they decide it is cost beneficial to them while maintaining coverage.</span><br>-----Inline Attachment Follows-----<br><br>
</p><div class="plainMail">=======================================================<br>List services made available by First Step Internet, <br>serving the communities of the Palouse since 1994. <br> <a rel="nofollow" target="_blank" href="http://www.fsr.net/">http://www.fsr.net</a> <br> mailto:<a rel="nofollow" target="_blank" href="http://us.mc447.mail.yahoo.com/mc/compose?to=Vision2020@moscow.com">Vision2020@moscow.com</a><br>=======================================================</div></blockquote></td></tr></tbody></table><br>
<meta http-equiv="x-dns-prefetch-control" content="on"></div></div></div><br>
</body></html>