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Friday, May 22 2015

Full Issue

Insurers Proposing 'Hefty' Rate Increases For Some Obamacare Plans

The Wall Street Journal reports that these proposed rate boosts will set the stage for debate regarding the health law's impact. Wellmark's South Dakota members are among those likely to see such rate hikes, according to The Associated Press.

Major insurers in some states are proposing hefty rate boosts for plans sold under the federal health law, setting the stage for an intense debate this summer over the law鈥檚 impact. In New Mexico, market leader Health Care Service Corp. is asking for an average jump of 51.6% in premiums for 2016. The biggest insurer in Tennessee, BlueCross BlueShield of Tennessee, has requested an average 36.3% increase. In Maryland, market leader CareFirst BlueCross BlueShield wants to raise rates 30.4% across its products. Moda Health, the largest insurer on the Oregon health exchange, seeks an average boost of around 25%. (Radnofsky, 5/21)

Wellmark Blue Cross Blue Shield is proposing to raise rates by almost 43 percent for its South Dakota members who've signed up for individual Affordable Care Act health plans outside of the federal health care exchange. Wellmark is the largest private health insurer in the state. About 14,000 South Dakotans have ACA-compliant plans through the company. (Burbach, 5/21)

In other news related to the health law and insurance marketplaces -

Vermont officials are considering turning to Connecticut鈥檚 health insurance exchange as an alternative to that state鈥檚 struggling Obamacare marketplace. Officials in Vermont have given the state鈥檚 exchange, Vermont Health Connect, deadlines to make improvements; the first one comes at the end of this month. But if those deadlines aren鈥檛 met, state officials are expected to explore alternatives, including using the federal government鈥檚 HealthCare.gov exchange. (Levin Becker, 5/21)

This is part of the Morning Briefing, a summary of health policy coverage from major news organizations. Sign up for an email subscription.
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