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On September 23, 2005, the Superintendent of Insurance received separate, timely applications for intervention from the Maine Association of Health Plans, the Maine State Chamber of Commerce, Consumers for Affordable Health Care, and Anthem Health Plans of Maine, Inc. d/b/a/ Anthem Blue Cross and Blue Shield.¹

Health Insurers

1. The Maine Association of Health Plans (“MEAHP”). MEAHP explains that it is an incorporated association of health plans whose members are entities licensed by the Superintendent, including health insurers, health maintenance organizations, and third-party administrators.² MEAHP asserts that pursuant to 24-A M.R.S.A. §§ 6913(2), 6913(3), and 6915 each of its members is required to pay savings offset payments which may be approved in this proceeding. MEAHP further asserts that the imposition of the savings offset payment on paid claims of customers of MEAHP’s member companies will necessitate an increase in prices charged by MEAHP members to customers and may result in loss of business due to such an increase. MEAHP concludes that each of its members is substantially and directly affected by the proceeding. No timely statement in opposition was filed to MEAHP’s intervention application.

2. Anthem Health Plans of Maine, Inc. d/b/a/ Anthem Blue Cross and Blue Shield (“Anthem BCBS”). Anthem BCBS explains that it is the State’s largest health insurance carrier. It asserts that pursuant to 24-A M.R.S.A. §§ 6913 the savings offset payment determined by the Superintendent in this proceeding must be paid by, among others, health insurance carriers; and that such carriers may include the amount of the savings offset payment in the calculation of rates charged to members. Anthem BCBS further asserts that to reduce to the extent possible the impacts of rate increases, the amount of the savings offset payment must be credible and reasonable, directly attributable to the Dirigo legislation, and no greater than the actual savings that are attributable to the law. Anthem BCBS concludes that it has a substantial and direct interest in the proceeding. No timely statement in opposition was filed to Anthem BCBS’s intervention application.

Employers

Maine State Chamber of Commerce (the “Chamber”). The Chamber explains that it is a statewide business association representing large and small Maine businesses. Its members include businesses that provide health coverage for their employees through self-funded plans and insured plans, and the Chamber itself has an insured plan for its own employees. The Chamber asserts that the savings offset payment determined by the Superintendent will result in an assessment made against health insurance carriers, employee benefit excess insurance carriers, and third party administrators that will have a tremendous impact on Maine’s business community because every employer in Maine that provides health care coverage to its employees (whether self-funded or insured) will be affected. Although the savings offset payment will be paid directly by health insurance carriers, third party administrators, and employee excess benefit insurance carriers, the Chamber further asserts that it is Maine employers and their employees that will ultimately pay the savings offset payment because carriers will have the ability to pass the savings offset payment on to employers in their premium rates and third party administrators will have the ability to pass the assessment on to self-funded plans directly. The Chamber concludes that it has a substantial and direct interest in the proceeding. No timely statement in opposition was filed to the Chamber’s intervention application.

Consumers

Consumers for Affordable Health Care (“CAHC”). CAHC explains that it is the State’s largest consumer health coalition whose mission is to advocate for affordable, quality health care with a membership of over 77 members, including 33 organizations and businesses, with a collective membership representing the health care and coverage interests of over 200,000 Maine citizens. CAHC asserts that its members purchase health insurance coverage through Dirigo Choice, would purchase Dirigo Choice if coverage were expanded at lower rates, purchase insurance from health insures whose rates will or may be affected by the proceedings, or represent organizations with the foregoing interests. CAHC concludes that its members will or may be substantially and directly affected by the proceeding. No timely statement in opposition was filed to CAHC’s intervention application.

Multiple Employer Welfare Arrangements (MEWAs)

Maine Automobile Dealers Association Insurance Trust and the Bankers Health Trust were GRANTED intervention (collectively, the “Trusts”). By Order dated September 22, 2005, the Superintendent GRANTED intervention to the Maine Automobile Dealers Association Insurance Trust and the Bankers Health Trust. The Trusts explained that they are multiple employer welfare arrangements (MEWAs) that secure health insurance for approximately 4,500 employee participants and 10,000 insurable lives. The Trusts asserted that they employ third-party administrators (TPAs) to manage and administer their health insurance programs. Under 24-A M.R.S.A. §§ 6913(2) and 6913(3), those TPAs are subject to savings offset payments that could result from an approval in this proceeding of Dirigo Health’s determination of aggregate measurable cost savings. The Trusts further asserted that any such savings offset payments will be passed on by the TPAs to the Trusts and, therefore, that the Trusts, their members, and their participants are substantially and directly affected by this proceeding. No timely statement in opposition was filed to the Trusts’ intervention application.

ORDER

The separate applications for intervention of the Maine Association of Health Plans, the Maine State Chamber of Commerce, Consumers for Affordable Health Care, and Anthem Health Plans of Maine, Inc. d/b/a/ Anthem Blue Cross and Blue Shield are GRANTED as of right under 5 M.R.S.A. § 9054(1).

As parties to the proceeding, the intervenors shall be bound by all procedural requirements set forth in Title 24-A of the Maine Revised Statutes, Bureau of Insurance Rule Ch. 350, and all procedural orders issued by the Superintendent during the course of this proceeding. The parties are advised that a Procedural Order was issued on September 19, 2005. That Order should be reviewed carefully as it contains a number of requirements as to the filing and service of documents. The parties may commence discovery immediately.

Given the responsibility of the Superintendent to have an effective and efficient proceeding and the potential similarity of interests of certain intervenor parties, the Superintendent will require some coordination of efforts between and or among certain intervenor parties. Intervenor parties with similar interests shall coordinate with each other to avoid duplication of efforts, particularly with respect to the service of multiple informational requests when one or two joint requests would accomplish the same goal. Specifically, and not by way of limitation, the Superintendent requires the Maine Association of Health Plans and its member, Anthem Health Plans of Maine, Inc. d/b/a/ Anthem Blue Cross and Blue Shield, to consolidate their participation in the proceeding, including but not limited to the consolidation of discovery and the consolidation of presentation of evidence and argument.

¹ Earlier in the proceeding, on September 19, 2005, the Superintendent received the timely, consolidated application for intervention of the Maine Automobile Dealers Association Insurance Trust and the Bankers Health Trust, which application was GRANTED as of right under 5 M.R.S.A. § 9054(1) pursuant to Order dated September 22, 2005.

² MEAHP identifies in its application as one of its members Anthem Blue Cross and Blue Shield of Maine.

PER ORDER OF THE SUPERINTENDENT

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