Insurance innovator intrigues observers

Written By Unknown on Selasa, 20 Agustus 2013 | 18.39

A startup insurance company approved to offer health coverage to Massachusetts residents is promising a new approach to cut costs.

Minuteman Health, the first insurance company to be approved in years in Massachusetts, will be member-governed, something that should bring lower costs and better care to members, the company said. Approved by the Division of Insurance last week, this will allow Minuteman to offer insurance plans that are unlike any in the state, the company said.

"We're trying to deliver additional choice and competitive new product to the market," said Tom Policelli, CEO of Minuteman. "We're trying to deliver value to the consumer."

All members of the board will be Minuteman policyholders, and those members will be voted on by every policyholder.

"That's something we haven't seen in Massachusetts before," said DOI commissioner Joseph G. Murphy. "It's a unique facet of Minuteman's creation."

Amy Whitcomb Slemmer of Health Care for All, a consumer insurance advocacy group, said, "They have an opportunity to do it right out of the box. We certainly are interested in the innovation, we're excited about consumers being on the board of directors, and we're going to watch carefully."

"I personally welcome any additional new entrants to the marketplace because we have not had them for many years," said Joshua Archambault, director of Health Care Policy for the Pioneer Institute. But he and Slemmer added they are waiting to see how the company develops.


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