VIDEO: Governor Agrees With Rodriguez, Insurers Should Absorb Proposed 4% Fee on Premiums


Guam – Governor Eddie Calvo says he supports Senator Dennis Rodriguez’s proposed 4% fee on health insurance premiums to eliminate the more than $20-million dollar debt faced by Guam Memorial Hospital.

The Health Committee Chair proposed the bill last week. Monday, the Governor issued a surprise release saying he agrees with the measure.

Bill #20 would raise an estimated $8.5 million each year to pay not only GMH’s debt, but it would also cover the cost of a new center to treat non-emergency patients who are currently using the high cost services at GMH’s emergency room

The Governor calls the proposal a real solution with real funding behind it and he supports it. And like Rodriguez, the Governor told PNC News that he believes that insurers should absorb the 4%, rather than passing it along to subscribers.

READ Bill #20 HERE


Calvo Selectcare Administrator Frank Campillo told PNC News last Friday that the 4% fee on premiums would have to be passed on-to subscribers.  And he said the island community must decide if they want to support a bill that would subsidize medical care in this manner.