Uncategorized

Is the State Health Plan fibbing about wellness savings?

Officials at the State Health Plan are now telling everyone that its draconian wellness initiatives will save $13 million in the first year.

Assuming that number is more credible than Executive Director Jack Walker’s PhD, where did it come from?

When Walker was first pushing the wellness proposals he told the General Assembly that he hoped the initiatives would break even after three years. And, to quote documents given to lawmakers during the legislative session:

Aon Consulting, consulting actuary for the Plan, estimates the smoking cessation program will save approximately $3.4 million in claims cost for the FY 2010-11. However, the administrative costs to begin implementation are estimated by Aon to offset any first year savings … Hartman and Associates, consulting actuary for the General Assembly’s Fiscal Research Division, does not project any financial impact to the Plan from the proposed smoking cessation program.

The rosiest projections we have so far say the state will not save money with the wellness initiatives. Where is the State Health Plan getting the $13 million figure from. Reporters should not recite the number without asking Walker.

3 Comments


  1. Phentermine

    September 23, 2009 at 10:26 am

    If everybody bought a trip to Disneyland once a year, then Disneyland could afford to charge a lower price for an annual pass. So those of you who don’t buy an annual pass or don’t buy a trip to Disneyland are ripping off responsible consumers. The only fair way out is for everybody to buy a trip to Disneyland or pay the equivalent in fines.

  2. AdamL

    September 23, 2009 at 10:41 am

    Nice try, but the hospital is no day at the park. Emergency rooms have to take everyone and my guess is that if you get hit by a car you’re not going to refuse intensive care just because you can’t cover the full cost. That means the costs are shifted to everyone else. That means if insurance is affordable you should buy it.

  3. EBB

    September 23, 2009 at 7:24 pm

    Great come-back, Adam L.

Check Also

Context is key for understanding Insurance Commissioner’s Affordable Care Act comments

Many people were surprised to see a story ...

Top Stories from NCPW

  • News
  • Commentary

Conference comes a day after new report lauds benefits of same-day registration The new line-up for [...]

North Carolina’s largest public school system may be warning of “enormous disruptions” without speed [...]

Carol Turner hadn’t lived in North Carolina long before last November’s election. A retired nurse, s [...]

Controversy over class-size requirements in early grades has emerged as the biggest issue facing Nor [...]

As the national pundits weigh in on President Trump’s first 100 days in office and the General Assem [...]

How the General Assembly is spending “crossover week” and what it ought to be doing The last week of [...]

To casual observers, the recent controversy surrounding public school class-size mandates in grades [...]

3,000---minimum number of K-3 teachers that school districts will have find to comply with the Gener [...]

Featured | Special Projects

Trump + North Carolina
In dozens of vitally important areas, policy decisions of the Trump administration are dramatically affecting and altering the lives of North Carolinians. This growing collection of stories summarizes and critiques many of the most important decisions and their impacts.
Read more


HB2 - The continuing controversy
Policy Watch’s comprehensive coverage of North Carolina’s sweeping anti-LGBT law.
Read more