Obamacare enrollment grew to 30,000 as of Thursday, surpassing the Hawaii Health Connector’s goal for the fiscal year.
The online health insurance exchange created by President Barack Obama’s Affordable Care Act had set a goal to enroll 27,000 individuals in coverage by the end of the fiscal year on June 30.
"We’re just terribly pleased because it shows that we’re gaining momentum and people are coming to understand that they can enroll easily and conveniently," said Jeff Kissel, the Connector’s executive director. A year ago the Connector had registered only between 5,000 and 6,000 people on the exchange, he said.
As of the Feb. 15 enrollment deadline, 13,356 residents had signed up for Obamacare, bringing the number of individuals who selected plans for 2015 to approximately 23,000, despite computer glitches that persisted at the start of open enrollment Nov. 15.
The Connector received $204.3 million in federal grants to build the online marketplace, which was plagued by computer glitches since its inception in October 2013. Kissel said it has spent about $120 million to $130 million to date.
"Not only do people want to enroll, they can enroll," Kissel said. "There are still technical issues and technical improvements that we are making to improve the user experience. Our goal here is to put people in front of the technology and use the technology to support the people. The technology is much less important in the enrollment process now than it was last year."
Residents with incomes above the federal poverty line who do not obtain health coverage face an IRS penalty of $325 per person or 2 percent of household income, whichever is greater.
This year is the first time consumers were able to re-enroll in medical plans on the exchange, which collects a 2 percent fee on each health plan sold. That generates about $10 per member per month, Kissel said.
The latest enrollment figures will generate annual revenue of $3.6 million, far less than the $12 million, or $1 million per month, in expenses the Connector is currently projecting.
In an effort to boost revenue, the Connector’s board of directors Friday approved increasing the fee on health plans to 3.5 percent from 2 percent, starting July 1. Lawmakers also are exploring proposals that would allow the Connector to use as much as $28 million in bonds backed by the state as operating capital until 2022, when it expects to have enough income to cover its expenses.
