Daily News Updates - Health Insurance News

CA Rescission Legislation, Pt.1 – Rescission who? What’s that!!!

Rescissions are becoming more and more public in these times of exposure. A few weeks ago I wrote a preliminary article called “Rescissions Decisions – Have you been dropped lately?”  It should provide a little more general of a picture of a serious problem which has been escaping the general audience. Rescission is the practice of dropping health insurance on people for various and asunder reasons. Some valid, some not but many appear to ‘shady’ when being viewed in perspective by a neutral audience. So this article is provided to expound on a Consumer Watchdog report posted with PRNewswire-USNewswire via COMTEX which illuminates some of the, otherwise, shady aspects of what has called “'Reform' of Health Insurance Cancellations”. This case happens to be focused in California, but seems to be the same scenario going on in many other states as well. Insurers canceling peoples’ health insurance has become unnecessarily convoluted and has far-reaching ramifications for both sides of the fence.

According to Watchdog, the California Legislature is voting today on a bill that has been radically modified from it’s original intent in order to clear oppositions by the health insurance industry. The summation-style title drew the observation that the metamorphed bill now “Resembles [the] Insurance Industry's Own Plan.” The ‘legal edge’ still remains with those whom the bill was created to protect against. Now, ‘under the guise of reform’, the health insurance industry lobbyists are creating a ‘legal liability’ shield for cases where industry is found in violation.

Continued…