HCR42

Report Title:

PEHF; Health Testing; Cost Containment

HOUSE OF REPRESENTATIVES	H.C.R. NO.	42
TWENTY-FIRST LEGISLATURE, 2001
STATE OF HAWAII

HOUSE CONCURRENT

RESOLUTION

requesting the board of trustees of the public employees health fund to examine the possibilities for cost savings and premium reductions through the provision of health testing.

WHEREAS, it is generally recognized that high cholesterol, high glucose, and obesity are indicative of significantly higher risk for heart disease, diabetes, and other serious afflictions; and

WHEREAS, public employees who are willing to educate themselves about these health risks and change their diet and lifestyles to reduce those risks should be given a partial rebate of their insurance premiums, assuming that the cost of their medical care will likely decrease; and

WHEREAS, this approach targets resources and focuses attention on health prevention and individual responsibility rather than on more expensive treatment after disease or illness develops; and

WHEREAS, the Hawaii Medical Service Association reportedly makes available a cost-free basic test for cholesterol, glucose, and body fat for its members; and

WHEREAS, this test could be modified to make it more precise so that it can:

(1) Provide valuable health data to covered public employees to guide them in taking steps to prevent illness; and

(2) Establish accurate test values to serve as a basis for awarding premium rebates; and

WHEREAS, providing appropriate health tests to public employees will not only assist them to attain better health, but may also produce cost savings which may then be returned to members of the health fund in the form of premium rebates; now, therefore,

BE IT RESOLVED by the House of Representatives of the Twenty-first Legislature of the State of Hawaii, Regular Session of 2001, the Senate concurring, that the Board of Trustees of the Public Employees Health Fund is requested to examine the possibility of generating cost savings by providing its members with appropriate health tests and to determine whether any cost savings will be sufficient to allow premium rebates for members of the public employees health fund; and

BE IT FURTHER RESOLVED that the Board of Trustees of the Public Employees Health Fund, in determining the possibility of generating cost savings, is requested to obtain the services of an actuary, if necessary, to quantify how much health risks may be reduced by such a testing program, and to calculate how much, if any, premiums may be reduced and rebated to members of the Public Employees Health Fund; and

BE IT FURTHER RESOLVES, that the Board of Trustees of the Public Employees Health Fund is further requested to determine:

(1) What types of health test or tests, with modifications, if necessary, should be provided;

(2) What the cost of each of these tests will be;

(3) Whether the cost should be borne entirely by the State and the counties as public employers or whether employee-beneficiary contributions may also be used;

(4) At what levels will a test be considered satisfactory for purposes of being considered for a patient premium reduction;

(5) How often a test or tests must be given in order to assess improvement in the patient and for granting a premium reduction;

(6) How long satisfactory test results need to be maintained for purposes of granting a premium reduction;

(7) Whether there should be a waiting period, and if so, how long, after a test is administered before premium reductions or rebates are granted in order to weed out insincere crash dieting or other temporary measures that may be taken for the sole purpose of obtaining a short-term premium reduction; and

(8) Whether it is cost-effective to further provide counseling or support group services to assist members after testing;

(9) Whether cost savings will accrue and how much; and

(10) Whether the premium that may potentially be reduced and rebated be limited to the employee-beneficiaries' portion, or extend to the State and the counties' share;

and

BE IT FURTHER RESOLVED that the Board of Trustees of the Public Employees Health Fund is requested to report its findings and recommendations, including any necessary proposed legislation, to the Legislature no later than twenty days prior to the convening of the Regular Session of 2002; and

BE IT FURTHER RESOLVED that a certified copy of this Concurrent Resolution be transmitted to the Board of Trustees of the Public Employees Health Fund.

	OFFERED BY:	_____________________________