Under so-called Obamacare, starting Jan. 1, U.S. citizens and legal residents must obtain health insurance coverage. Not having coverage could result in escalating penalties, the penalty next year being the greater of $95 per adult or one percent of taxable income, according to the exchange. More than a million Minnesotans, most of whom are already enrolled in government health care, are expected to use MNsure.
Although portrayed as a virtual online marketplace, which it is, a more accurate picture of MNsure is one of a business, Todd-Malmlov said. Yes, there’s the Internet, but there will also be a call center and possibly offices for insurance-seekers to stop by for assistance.
The “boots on the ground” will be the brokers and navigators working on a community-based level to assistance the public. Some navigators may be members of nonprofits, already engaged in assisting the public. These will not be regular MNsure employees, but contract for services.
“At this point it’s hard to determine exactly how many there will be,” Todd-Malmlov said.
When fully ramped up, the exchange will have a budget of about $60 million a year.
Todd-Malmlov argues the state acted wisely in forming its own exchange rather than accepting a federal exchange.
“If we would have went with the federal exchange, that would have cost us much more,” she said.
The feds would charge at least a 3.5 percent fee on insurance premiums sold through the exchange, while MNsure can charge up to 3.5 percent. Projections suggest MNsure will stay well under that mark, Todd-Malmlov said.