Some health insurers raising rates again

[Robbien]

Source: San Francisco Chronicle

Some health insurers are bumping up rates yet again to reflect changes mandated by the new federal health overhaul law as well as state reforms that will go into effect Jan. 1.

<snip>

For consumers, many of whom already have been hit this year with hefty premium increases to accommodate higher medical costs, the additional raise attributed to health reform will further strain their budgets.

Scott Morgan, a Blue Shield customer in San Francisco, saw his premium rise by 29 percent in June, so he was stunned to get another rate increase, this time for 34 percent. That means the same coverage he was paying $335 a month for at the end of May will cost him $581 a month come January.

"The federal reform is going to add 3.4 percent. That's fair. But do I believe that means my rates should go up another 30 percent above that?" said Morgan, 52, a self-employed consultant for corporate meetings. "I think what they're doing is they're getting their licks in while they can."

Read more: http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2010/12/09/MN8I1GLJ8L.DTL&feed=rss.news

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[littlewolf]

1. and people are surprised because ???

[SocialistLez]

22. Exactly. NT

[Roland99]

2. Only going to get worse as they work to raise rates to get that floor premium as high as possible...

before they have to start covering pre-existing conditions for everyone at a max of twice the lowest premium for a plan.

Raising the floor raises the ceiling even higher.

[valerief]

3. And the sun sets in the west. nt

[Riley133]

4. Just told doc's office I couldn't afford it anymore

As I was reading your post, the phone rang. It was the doc's office to go over some recent findings. They went over the game plan and I stopped them. I can't afford medical care after January, and I told them so. This is cancer follow up. The good news is - if I COULD afford it - I wouldn't be denied, right? RIGHT?

[rhett o rick]

5. The HCR bill isnt a sustainable process. The more they raise the rates the more people become

incapable of paying. This will cause the rates to increase again and again, as the burden falls on fewer and fewer people.

[Schema Thing]

7. er, no.

They won't be able to raise rates above their MLR beginning next year.


People are suddenly acting as if Insurance companies had not been raising rates outrageously for years. Now it will stop.

[rhett o rick]

8. And you think that the insurance companies are going to settle for less.

I will believe it when I see it.

[Riley133]

9. Two problems with that

Insurance companies are allowed to raise their rates as long as they can be justified, and with unlimited health care and rising medical costs it is unlikely they will not be able to justify their raise in rates.

Over 100 organizations have already benefitted from exemptions.
http://www.hhs.gov/ociio/regulations/approved_applications_for_waiver.html

[Schema Thing]

11. Their numbers have to match cost, so of course as cost go up

insurance rates will rise.


but it will not be arbitrary anymore. That's better. Much better.

[Riley133]

10. MLR exemptions

"With pressure mounting from lobbyists for insurance agents, state regulators are scrambling to decide whether they want to apply for exemptions from the new federal rules stating how much insurers must spend on medical costs."

Read more: http://www.politico.com/news/stories/1110/45693.html#ixzz17dFq2Tzz

[Hoyt]

15. Yes. Next to removing pre-existing exclusions in 2014, MLR provisions are key features of HCR.

It will help keep premiums lower, as will the exchanges when we don't have to worry about pre-existing conditions and can move among plans easier. Still, I would have preferred single payer or at least a public option.

[Schema Thing]

16. me too.

but damn it's nice to see another person on DU who appreciates progress. :hi:



An alien civilization would never be able to figure out the etymology of the word "progressive" if all they had to go buy were DU archives :)

[Riley133]

17. Sorry, progress priced me right out the door. (NFT)

[Schema Thing]

18. no it didn't.

[dflprincess]

19. Wendell Potter has pointed out that MLRs are easy to get around

and how much they get by with will depend on how vigorously the regulations are enforced. And then there is the question of just what the penalties will be if a company is caught exceeding the MLR. It just might be those will be written off as part of the cost of doing business.

If you think anything in this bill is going to keep the for profit insurers from continuing to cheat us, you're dreaming.

BTW I doubt an alien civilization would understand why Americans would call the forced purchase of the same crap from the same crooks progress if they knew that other countries actually provide their citizens with access to health care.

[Hoyt]

20. Sure regulation is key, but that is true of just about everything like this.

I see what was passed as infinitely better than before, even if it is far from perfect.

One of the penalties is clear -- they gotta refund the difference to the insured if they don't pay out 80/85% in medical benefits. Read the legislation -- it's right there. Since final regulations haven't been written, how do you know regulation won't be tough?

And, there are thousands of insurers. I believe at least one or two will see that the exchanges will give them a big boost in market share if they price their insurance right and treat patients and providers fairly. At some point, the greediest insurers will be sitting there with very few insureds and no money to pay greedy execs. Besides, I think we'll get a Public Option because even the so-called Catfood Commission recommends it.

As to aliens, I suspect they wonder why folks want throw what was accomplished out the window by joining the Republicans in opposition to the progress that was made. Personally, I think we ought to build upon what was passed by adding a Public Option, tough regulations, tightening the MLR, supporting all the innovative delivery system aspects of the legislation, etc.

Finally, I applaud Wendell Potter for his comments during the debate. But, I think he was also a greedy health insurance exec out to screw us for his on benefit before he got remorse. Glad he changed, but just saying. . . . . .

[2Design]

6. good thing our government got health care insurance for this companies

they are making money from government and those who choose to pay for insurance - that rest of us will die quickly

[nc4bo]

12. My 78 yo mom expects her usual annual increase but now no COL for SS

and the cost of her prescription plan typically goes up too so she'll going without something while the insurance companies and big Pharma enjoy their hard earned profits.

thankgoditpassed.

[Matariki]

13. Mandatory insurance always costs more

wait and see.

[goforit]

14. Insurers will loose. DR.s now cutting insurers out going straight to patient.

[sarcasmo]

21. GREED!