HealthSource RI is running ahead of last year in enrolling Rhode Islanders for health insurance coverage in 2019.
With the deadline approaching on open enrollment, its marketing includes a new focus on the small percentage of Rhode Islanders who aren’t covered: such as younger millennials and independent workers, barbers and for-hire drivers, who aren’t covered through an employer.
The state’s health insurance exchange had 31,771 people signed up for coverage in 2019 as of Dec. 10, running 3,112 or 11 percent ahead of last year. The deadline for uninterrupted coverage in 2019 is Dec. 23.
HealthSource RI marketing funds, provided through the state, remained relatively constant. What has changed is the strategy. The exchange this year is emphasizing social media, direct mailings and other advertising efforts aimed at those who need a nudge to sign up for health insurance.
The website, for the first time, has been updated to provide a complete Spanish version. And the format has changed to make it cleaner and more easily navigated. One of the new options is a “comparison tool” that offers a clear comparison between plans.
For the second year, HealthSource RI is partnering with Lyft to reach out to drivers in the shared-transportation industry who are typically contractors without health benefits, said Zachary W. Sherman, HealthSource RI’s executive director.
“We get them information about HealthSource RI to blast out to their Rhode Island team, and to promote it through the app on their phone,” Sherman said.
Another more-novel approach involves coffee and drink coasters. The exchange has started a new campaign with its information imprinted on the coasters that you might see in bars or coffee shops, popular with younger adults.
And for the first time, the exchange is partnering with the R.I. Department of Health to reach smaller employers who need new licenses, or renewals, through direct mailings. So, for example, a hairdresser who needs to renew a license will receive information about HealthSource RI.
What kind of information? Because so many people qualify for the government subsidy, their monthly premium through HealthSource RI is generally affordable. About 45 percent of the people who buy insurance through the exchange pay less than $100 a month for their premium, according to Sherman.
Under the new federal tax plan, one incentive for purchasing insurance has expired. No one will be penalized with a fee if they do not have health coverage, as the so-called individual mandate has been removed under the Republican tax cut plan, which took effect this year.
Although that presents something of a challenge, HealthSource RI is emphasizing the good that comes through having health insurance.
“We’re trying to build on what has been our message all along, to make the case that it is better to have health insurance,” Sherman said. “Oh, and by the way, there is federal financial assistance and a lot of our customers pay less than $100 a month.”
No new carriers have joined the exchange this year. On the small-business portion of the exchange, the “Employee Choice” program allows employers to set the financial contribution they are willing to make for employees. And then employees use that amount to purchase their own plans through any available carrier.
The exchange recently added some ancillary product categories, including life insurance, pet insurance, long-term disability and vision insurance.
MojoTech LLC is one of the Rhode Island-based companies that provides insurance to employees through HealthSource RI.
The software design and development company employs 60 people in five states, with the majority in Rhode Island and Colorado. MojoTech has set up a system in which it provides full coverage for the cost of an individual through a reference plan, the most expensive plan offered. If someone has a family, they take that dollar equivalent and apply it to their own plan’s cost.
Because the exchange provides options, employees have 17 or 18 plans to choose among, using those offered by national carriers, said Jacob Brier, the company’s operations manager.
The company worked with HealthSource to craft a plan that is individual to its needs.
“We wanted to be able to cover more for folks who are enrolling whole families,” Brier said. “For a family, offsetting an $1,800-a-month plan for a cost of an individual is mid-range [in terms of a benefit]. Not really parity. But at the same time, we didn’t want to offer a directly better benefit for folks who choose to have a family over those who don’t.”
The extension of full coverage for individuals working at the company, and the equivalent applied to family plans, is more generous than many small businesses can offer in Rhode Island, but because software engineers are the primary employees at MojoTech, the recruitment environment is competitive. In that sense, the health insurance package becomes a recruitment tool.
“It’s twofold. It’s viewed as the right thing to do, to make sure you’re taking care of the people who work at your company,” Brier said. “The biggest job category we hire is software engineers, which is an extremely competitive field. So, we have to be at the top of the benefits provision.”
Mary MacDonald is a staff writer for the PBN. Contact her at Macdonald@PBN.com.
