News Headlines Article

Health care reform will cause 7% jump in state spending
Sacramento Business Journal

National health care reform will help 6 million Californians obtain health insurance when it is fully implemented in 2016 — but it will also increase state spending by 7 percent, a new RAND Corp. study concludes. The increase in coverage will be caused by a jump in people buying policies through a newly created state insurance exchange and enrolling in Medi-Cal, the government health care program for the poor. The rise in state spending is the result of higher Medi-Cal costs, according to researchers.