Bill to let chambers run insurance pools draws questions about impact on state plan

Nicole presented House Bill 26‑93, saying the bill would allow bona fide associations such as state chambers of commerce to form insurance pools to purchase coverage for small businesses and that the Senate added a feasibility study to be conducted by ADOA and paid for by a third party to assess costs if state health insurance entered the marketplace.

Members asked whether the study could negatively affect the state’s self‑insured health plan. Nicole responded, “As written, it would only be a feasibility study,” and later said, “That could definitely happen,” acknowledging the study could be used to examine employees leaving the pool and the resulting cost impacts. Members pressed that the study’s focus would be the employer cost if the pool shrinks, not the benefits members would lose or gain.

Why it matters: caucus members warned a narrowly scoped feasibility study could be used politically to move state employees into the private marketplace, risking coverage changes and higher costs for employees. Nicole said ADOA could alter the study scope and recommended further stakeholder engagement before any decision to act on findings.