Yesterday, the legislative auditor, Jim Nobles, issued his long awaited report on the operation of MNsure, the state health insurance exchange. The report attacks MNsure leadership for bungling the launch of the exchange in 2013. "Due to technical problems and poor management, MNsure did not deliver what was promised."
 

The governance of MNsure, a board appointed by the governor which specifically excluded insurers and brokers, failed to oversee executive staff and IT contractors. As a result, the initial enrollment process was often lengthy, with technical problems that frustrated consumers, insurers, brokers and counties.
 

The report found that key information held by MNsure executive staff was withheld from the Governor, legislators and the MNsure board. Behind the positive and upbeat fa�ade, management miscues and technical glitches rendered the website funded by over $180 million of federal dollars nearly inoperable.
 

Here is a link to the report and its executive summary:

http://www.auditor.leg.state.mn.us/ped/2015/mnsure.htm

The auditor's report makes some specific recommendations related to both governance and the role of agents and brokers in working with the insurance exchange. The auditor asks the legislature to consider making the MNsure board advisory only and amending the law to require the governor to appoint the MNsure CEO. He also suggests changing the structure of the enrollment process.

 A key recommendation in the report recommends that broker compensation be guaranteed and improved to attract more brokers. Brokers should be compensated for enrollment of individuals in public programs. The report also recommends "universal appointment" under which any broker certified by MNsure would be appointed to sell any product sold through the exchange. 

The blistering comments about MNsure former CEO were particularly harsh. The former CEO did not respond to the auditors request for information. When subpoenaed, she and her attorney declined to participate unless they were paid to do so. 

Dominic Sposeto

MIIAB Lobbyist