Blog for Rural America

Are you eligible for a high risk insurance pool?

By Kristina Hubbard
 
Have you or someone you know been denied health insurance because of a pre-existing condition?

Earlier this month, several states started taking applications for a new high risk health insurance pool. These are insurance plans that cover people who have been without health insurance for at least six months and been denied coverage due to a pre-existing condition. The high risk pool serves as a bridge to the insurance exchanges that will be established in 2014. At that time, insurers will no longer be able to deny coverage or charge higher rates based on pre-existing conditions.
 
You can learn more about high risk pool options in your state by visiting the Department of Health and Human Services' new web portal. Simply click on your state to learn about available plans and whether you qualify.
 
If you don't qualify for the high risk pool, be sure to explore other coverage options within this same website. It's an easy process that starts on the homepage: www.healthcare.gov/. You'll answer a few questions before being provided a list of health insurance plans that fit your profile. It even includes the applications.
 
It's important to get the word out about this new high risk pool in our rural communities, where rates of uninsured residents are higher than their urban counterparts.

Please pass this information along to your friends and colleagues, post it in newsletters and letters to the editor, and raise awareness through community meetings and other summer events. We all benefit when health care works for all rural people.

Making a Living, Making a Life

By Aubrey Streit Krug

As I intern at the Center for Rural Affairs, I’m learning about how the agricultural economy we have now is not inevitable. It can be changed.

Our ag economy is human-made. It’s been shaped by incentivizing and spurred by subsidies. It’s a sticky global system that often entangles the small and leaves loopholes for the large. It’s a way only a few people can make a living. For people in rural places--and for me, as a person with roots and family in a rural place--it’s at the root of dramatic conflicts.

Take these two scenarios:

  1. A rancher has been renting the same pasture for decades when her landlord dies, and the property goes to auction. She is outbid by a local incorporated operation, a pair of siblings. Afterwards the siblings explain to her that the land was simply too good an investment opportunity to pass up. The rancher tries to understand, because to hold a grudge would damage long-standing relationships in this small community.
     
  2. A landlord has two tenant farmers. One gets high yields off his land, and the other gets low. The landlord concludes that the low-yield farmer is lazy or is trying to cheat him. To make up the money, he decides to raise the price of renting his land. And, to be fair, the landlord raises the rates for both of his tenants. The high-yield farmer doesn’t protest this, because he doesn’t want his landlord to decide to rent to someone else.

In these stories, the rancher and the farmer both choose to keep silent about any outrage they might feel. They justify their choices with the reason that they don’t want to incite conflict.

One way to read their justifications is in cultural terms. The farmer and the rancher have been taught that the right action--for them and for their community--is to preserve the relationship. Their choices show that they believe it's best to stay on good terms with your new neighbors and your old landlord, even if you disagree with their actions.

Another way to read their justifications is in economic terms. The farmer and the rancher are still farming and ranching because they know how to navigate the business of acting in their own self-interest. Preserving relationships is a strategy that enables them to protect the opportunity to do future business with the siblings and the landlord.

Do the rancher and the farmer make the right choices? I don’t know.

What I do know is that though we might like to separate ranchers and farmers into categories like the “entrepreneur” (who cares about money, the economy) and the “yeoman” (who cares about traditions, the culture), these scenarios show that it’s more complicated than that. Culture and economy are cut from the same cloth. They’re different ways of looking at and talking about the same thing: the survival of a human community.

As Wendell Berry's work teaches us, an agricultural economy is both how we make a living and how we make a life. It's an agriculture, after all.

Our current system doesn’t have room or need for good neighbors or tenants. But by being those things--and by challenging the human-made policies that have written dramatic conflicts and injustices into the system--we can change it.

We have the power to make a better agricultural economy, one in which more than a few people can make a living and make a life in rural places.

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Health reform good for small business

By Kristina Hubbard

The flurry of misinformation around the new health care law is clouding the reality that reform is providing relief to many small business owners.

Health care costs for small businesses have risen 129% since 2000 and contribute significantly to the high rates of uninsured rural residents. Less than half of U.S. small businesses can afford to help their employees pay for health insurance.

So, just how does the new law impact small businesses?

For starters, small businesses with fewer than 50 employees are exempt from the 2014 mandate that requires businesses to offer employee insurance. That is, these businesses will not face a penalty if they don’t pay for their workers’ insurance.

Then how does the new law help small business employees?

The law provides an incentive for small businesses to offer employees insurance through tax credits that make coverage more affordable. Businesses are eligible if they have fewer than 25 employees and their median wage is under $50,000. This tax credit is worth up to 35% of small business’ premium costs in 2010. Starting in 2014, this rate increases to 50%. Firms can claim the credit for 2010 through 2013 and for any two years after that.

Here’s an example. Let’s say you own a hardware store and staff 10 employees, each receiving an annual wage equaling $25,000. Your employee health care costs are $70,000. In 2010, you are eligible as a small business owner to receive a $24,500 tax credit (35% of your employee health care costs). In 2014, you are eligible for a $35,000 tax credit (50% of your employee health care costs).

And when state insurance exchanges go into effect in 2014, small businesses will benefit from pooling and larger group coverage to provide comprehensive and continuous coverage for their employees. The take home message is this: small businesses (most businesses in the nation, in fact) are not required to pay for employee insurance. However, the new law provides tax credits to small businesses that provide coverage for their workers and for those businesses that initiate coverage this year. These credits make it more affordable for small businesses to offer employee coverage and help reduce the number of uninsured Americans.

Learn more by reading our May 2010 report (PDF) that debunks the myths of health care reform as they relate to small businesses. Share it with small business owners so they know how reform can benefit their bottom line and workers alike.

Out to Pasture

By Elisha Greeley Smith

There is good news for farmers and ranchers wanting to participate in the Conservation Stewardship Program (CSP). Thanks to the efforts of concerned farmers, the Center for Rural Affairs and National Sustainable Agriculture Coalition, farmers who convert their cropland to grazing land will receive higher payment rates than before.

When conservation programs such as the CSP are in the thick of farmer sign-ups, the Center for Rural Affairs' Farm Bill Helpline is there to answer farmers' questions and learn from their experiences. Last year we learned that farmers who converted their cropland to grazing land were receiving half of the payment per acre compared to land maintained as cropland, in spite of the environmental benefits of grass.

We worked together and voiced our concern to the national Natural Resources Conservation Service (NRCS) staff responsible for this provision, arguing that CSP should reward environmental benefits and consider income forgone in achieving those benefits.

Because of our persistence, progress was made and the rule was changed. The final rule re-establishes the "pastured cropland" category to provide higher payment rates than the regular pasture rate. This is a positive step forward for the CSP - one that will reward farmers who make investments that provide long-term conservation benefits and economic opportunity.

To get in on this year's ranking, apply with your local NRCS by June 25. Be sure and share your experience with our Helpline so we can continue to learn how the program is working. For more information, click here.

Green Means Grow


By Lance Evans

About a week ago I spent a good chunk of my Saturday assembling a secondhand playground set for my two nieces. Although it took about twice as long as it should have, it was pretty enjoyable.

Anyone who has ever put something together for two little kids, while the little kids were present, can affirm it takes a little longer. The persistent questions and how kids always seem to be standing right where you need to be, just add to the experience.

As a looked at a job well done I couldn't help but thinking how much more inviting this yard was. A secondhand swing set and slide turned a formerly drab area of grass into a verdant playtime utopia.

Rural communities can take advantage of their space by creating enticing recreational areas for residents to enjoy.

Investing in green space is an excellent opportunity to enliven a community. Trails, parks, playgrounds, community gardens and other types of recreation areas have a myriad of advantages. Not only will these projects beautify a community they will increase physical activity, camaraderie and involvement among citizens.

A beautiful area to gather and enjoy the outdoors strengthens relationships between residents as well as increases the zeal rural citizens have for the outdoors.

A rise in citizen involvement strengthens the bond between an area and its inhabitants. This type of connection increases local business, and reinforces community pride.

Levels of physical inactivity are peaking across the country. Increased physical activity lowers health risks, and leads to a greater quality of life. Besides, getting out and doing something is always more fun than staying at home watching television.

Getting people outdoors, sprucing  up neighborhoods,  fortifying relationships, and increasing involvement are all valuable ways to enliven rural communities. The simplest projects can really make a community flourish.