I guess “comparative bargain” is an accurate phrase to be used here. On the other hand, if a corporate benefits manager spent $647 per enrollee during open enrollment he or she would be out on the street. Then again we are talking about spending tax money so I guess it doesn’t matter all that much. Keep in mind we are talking about the cost per person, per individual enrolled so if a family of four enrolled, on average that process cost $2,588 … yikes‼️ The total spent on all the Exchanges was $7.394 billion.
Sometimes there really are economies of scale. And the nation’s health insurance exchanges may be a case in point.
As rocky as its rollout was, it cost the federal exchange, healthcare.gov, an average of $647 of federal tax dollars to sign up each enrollee, according to a new report. It cost an average of $1,503 – well over twice as much – to sign up each person in the 15 exchanges run by individual states and Washington, D.C.
The report, released Wednesday, was compiled using data from federal enrollment figures and federal exchange funding for both the federal and state exchanges. It was written by Jay Angoff, a former Missouri Insurance Commissioner and one-time director of the Health and Human Services office in charge of implementing the health exchange program.
Even California, the most efficient of the state-run exchanges, at $758 per enrollee, still spent more than the average in the federal exchange. And California was the only state-run exchange with a per-person average under $1,000.
Hawaii, with a combination of a poorly-functioning website, a small population overall, and a small population of uninsured, brought up the rear in the study. It cost the Aloha State an average of $23,899 per enrollee covered. Washington D.C. came in next to last at $12,467 per person.
What was not expected, said Angoff in an interview, is that the five states whose governors and/or legislatures were among the most adamant about resisting the Affordable Care Act — Florida, Texas, Georgia, Virginia, and Michigan — ended up with the lowest per-person enrollee costs. Florida’s cost per enrollee was just $76; Texas’ was $102, and Michigan’s $427.
“The states that fought the ACA the hardest ended up with exchanges that have been very efficient,” he said.