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Insurance law a first; its impact a 'question mark'
The law is one of the first of its kind in the nation.
"There's a bit of a question mark over what the impact will be," said Timothy Sweeney, a political analyst with the health care budget of Georgia and Policy Institute, a reflection of Atlanta.
Supporters say the law will increase competition and lower prices, allowing Georgians about 2 million uninsured to find an affordable policy. Critics, however, say the policy cheaper could confuse consumers and will not cover a wide range of diseases and procedures.
Georgia law requires that policies in the state covers 45 specific diseases, screenings and treatments, such as mammograms or insulin for diabetics. Other states mandate coverage more or less.
The law could create "a race to the bottom" with the Georgians buying stripped-down policies without really understanding what little they actually cover, said Cynthia Zeldin, executive director of Georgians for a Healthy Future, a group the health of consumers.
There is no evidence to support the idea that the law would reduce costs, said Andy Lord, a lobbyist for the American Diabetes Association.The real intention seems to be eroding the Georgia health insurance mandates, he said.
"This indicates that whatever the lowest level of coverage is in any other state is good enough for Georgia," Lord said.
The author of the bill, state Rep. Matt Ramsey, R-Peachtree City, said he understood the consumer.
Only companies with registered agents in Georgia may sell out of state policies, and must list the benefits consumers get for their money, said state Insurance Commissioner Ralph Hudgens, whose office is implementation of the law.
The law applies only to contracts sold to individuals, not those offered by employers or other group coverage. Ramsey said he hopes the bill will nibble a key market - the uninsured who do not have coverage through work and are looking for an individual contract that fits their budget .
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"There's a little bit of a question mark about what the impact is going to be," said Timothy Sweeney, a health care policy analyst with the Georgia Budget and Policy Institute, an Atlanta think tank. Supporters say the law will increase competition and
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