NJ Spotlight published the following article on 7/11/2014. To read the full article, click here.

Consumer Advocates Warn Proposed Bill Could Cripple ACA in New Jersey

Andrew Kitchenman | July 11, 2014

A bill that was promoted as a way to increase health-insurance options for small businesses is meeting fierce opposition from consumer advocates who see it as a threat to the new federal health insurance marketplace in the state. The legislation, S-2220/A-3421, would make it easier to launch Multiple Employer Welfare Arrangements (MEWAs), which allow groups of employers to self-insure rather than buy commercial plans from insurers.

The bill was not controversial when it advanced rapidly through the state Assembly after being introduced on June 16, culminating in that body approving it by a 79-0 vote two weeks later. But when consumer advocates became aware of details of the legislation, they united to oppose a Senate vote on the measure.

Opponents include New Jersey Citizen Action and national healthcare advocacy organization Community Catalyst; Jersey City Mayor Steven Fulop; and representatives of two labor unions, the Health Professionals and Allied Employees and Communications Workers of America Local 1032.

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