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Audit: State Never Implemented Health Care Program For Businesses

Bureau Says Effort Cost $470,000

UPDATED: 12:43 pm CST November 16, 2007

A program created by Wisconsin lawmakers in 1999 to reduce health care costs for small businesses was never implemented, according to state auditors.

The Legislative Audit Bureau said that the program was canceled after insurers weren't interested in participating.

Auditors said the state spent more than $470,000 before abandoning the effort in 2003.

The law directed state agencies to create a voluntary health insurance pool for small businesses. The goal was to try to reduce health care costs and the number of uninsured Wisconsin residents.

But no companies responded to the state's request for proposals. Insurers were worried the program would attract a large amount of individuals with expensive health care needs.



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