Utah is one step closer to health care reform, thanks to a new, more affordable health insurance product offered in the state. Utah’s new NetCare is designed to act as a health insurance cushion for people between jobs.

NetCare will be available to people transitioning off their employer’s health insurance plan. The insurance plan is less expensive than COBRA coverage, which companies are required to extend to departing employees. The NetCare plan offers health insurance coverage for up to 12 months. After that, members will have to reapply as individuals, and would be evaluated before extended coverage was approved. NetCare is available to both individuals and families, and may also be purchased as a group plan.

The NetCare plan is considered “mandate-light,” which means that it does not include all the benefits required by the state. Because of this, the insurance policy can be offered at much more affordable rates. On average, NetCare is about one third the cost of the average large-group premium. And if you choose to have a higher deductible, you can get it at nearly half the cost. Utah state officials hope that this affordable health insurance option will help to capture some of the uninsured in the state.

The plan promotes making healthy lifestyle changes, and focuses on providing affordable preventative care. Plan members will be eligible for up to $300 in preventative care annually, with only a $5 co-payment. After the deductible is met, out-of-pocket costs will be limited to 30 percent for most services - including hospital and maternity care. Generic prescription drug co-pays will be $15, and the plan willd cover half the cost of brand-name drugs.

Although state officials acknowledge that NetCare doesn’t quite constitute health care reform, they hope that it will at least provide some relief, and buy the market more time to implement significant changes. Although it may take some time for complete health care reform to take effect, providing residents with affordable health insurance options is certainly a step in the right direction.