Group picked to evaluate Colorado's health care reform proposals

The Lewin Group is charged with a hefty responsibility: evaluating the five health care reform proposals being considered by the 208 Commission, deciding how much each would cost and determining how each would close the insurance coverage gap.

But the Lewin Group might not be the most impartial of evaluators. The company was purchased in June by Ingenix -- a wholly owned subsidiary of United Health Group Inc., Colorado's largest insurer.

Steve ErkenBrack, a member of the commission and vice president of legal affairs at Rocky Mountain Health plans, said that he and his fellow commissioners aren't worried about a conflict of interest. He said the Lewin Group was chosen because it had performed similar evaluations in other states.

"They announced the purchase after the bid was awarded," ErkenBrack said. "We had them come back because that was of great concern to the commissioners. We were assured that there would be an 'ethical wall' between Lewin Group and United Health Care. There would be no communication between them. There would be no undue influence -- no influence whatsoever."

The commission was comfortable with that assurance, he said.

But not everyone interested in health care policy is so certain. Jay Norris, owner of Insurance Shoppers Inc., said the appearance of bias is a problem for Lewin and the commission.

"It may be something they know a lot about," he said. "But the group is supposed to be independent. It certainly doesn't create a lot of comfort for people who expect it to be independent, then find out that it's owned by the state's largest insurance company."

Regis University associate professor Mike Fisher said that everyone on the 208 Commission has a special interest in health care legislation.

"On the surface, there appears to be a conflict of interest," he said. "But I can rationalize that by saying that it is a highly respected group."

Questioning whether the consultants would allow their parent company to unduly influence their judgment would be "unfair," he said.

"There's just no evidence that it occurred," he said. "It would be the easy thing to do -- say they were unduly influenced -- but there's no evidence of that."

Marcy Morrison, state insurance commissioner, echoed Fisher's response, but admitted that she was concerned that there might be a conflict of interest.

"We're proceeding in good faith; maybe it's naive, (but) so far there's no inkling of any bias," she said. "No one on the commission would want anything to color the public's opinion, after all the hard work."

Norris, however, maintains a healthy skepticism.

"It leaves those of us interested in health care policy to wonder if the commission is just for show -- nothing will actually get accomplished," he said.

And while there might be an "ethical wall" between Lewin Group and United Health Group, Ingenix and Lewin share marketing and public relations departments. Joan Schimml, who answers media inquiries for both companies, declined to answer questions about the purchase and what procedures are in place to avoid any undue influence.

The commission will seek public input about the proposals beginning in October. Final proposals are due to the General Assembly in January.

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