A NOTE FROM THE CT HBA CEO Associated Health Plans in Connecticut? Not so fast. By Jim Perras, CEO of the HBRACT In Connecticut and nationwide, our industry is facing a workforce development crisis. Our average contractors are in their late fifties, early sixties and there’s a dearth of younger men and women to take their place. How might we entice the younger generation into the trades you ask? One way might be by offering affordable employer based healthcare. Many construction companies have five or less employees. As such, they often lack the resources to design and/or manage a health plan for their employees. Are Associated Health Plans (AHP) the answer we’ve, all been waiting for? Not so fast. In October 2017, President Trump signed an Executive Order that changed the definition of “employer” that would allow employers to join together for the purpose of offering employees an employer-based healthcare. The benefit of joining an AHP would presumably be that these plans would be rated as large group plans and therefore subject to less stringent rating rules. As a result, AHPs could tailor plans that offer fewer benefits and consequently be more affordable for its members. However, despite strong industry interest, Connecticut insurance officials as well as officials from other left leaning states have expressed concern. They trumpet concerns that AHPs may undermine the health of the ACA by drawing away healthy plan holders thereby negatively affecting the rating of ACA plans and driving up their costs. It’s also a turf war issue. Insurance is currently a state regulated business. Should associations be able to offer insurance across state lines, state insurance commissioners could lose regulatory control to the federal government. Despite the pitfalls, our leaders at the NAHB are carefully reviewing their options and will be providing an update soon. However, at a recent NAHB senior officers’ roundtable concerns were expressed that the NAHB could invest blood, sweet and treasurer in developing an AHP only to have the Executive Order over turned by the next person to sit in the oval office. Alternatively, the HBRA could always look to other states which currently have strong AHPs that provide robust and affordable healthcare coverage to see how Connecticut can do the same. One such alternative, although fraught with its own challenges, would be to work to change Connecticut state statutes to require that AHPs be treated as large group employers. Doing so, would free us from being subject to the ever changing whims of Washington and afford Connecticut the opportunity to forge its own path to a healthier future for our industry and those that work in it. Build A Better Connecticut - Senate Republican Leadership Committee Fundraiser REGISTER Please join the President of the HBRA of Fairfield County, Anthony DeRosa, the other local Presidents (Eric Santini Jr./HBRA of Central CT, David Preka/HBRA of Eastern CT, Tim Bobroske/HBRA of Northwestern CT), and Homebuilding Industry Colleagues for a fundraising event to help elect pro-business candidates this fall. Includes cocktails and conversation to BUILD a Better Connecticut. Featuring Honorary Speaker Len Fasano, Senate Republican President Pro Tempore, along with several other Republican State Senators. September 13th, 2018, 5:00 - 7 :00 p.m. Wallingford Country Club 26 HBRA of Fairfield County | SUMMER 2018
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