Thursday, June 19, 2014

WSJ: Health insurance premiums to rise and fall

Are health insurance rates rising? Is the Afforadable Care Act responsible? The Wall Street Journal reported:

Hundreds of thousands of consumers nationwide who bought insurance plans under the Affordable Care Act will face a choice this fall: swallow higher premiums to stay in their plan, or save money by switching.

That is the picture emerging from proposed 2015 insurance rates in the 10 states that have completed their filings, which stretch from Rhode Island to Washington state. In all but one of them, the largest health insurer in the state is proposing to increase premiums between 8.5% and 22.8% for next year, according to a Wall Street Journal review of the filings. That percentage represents the average rate increases for all individual health plans offered by that carrier.

At the same time, insurers with the smallest enrollments are proposing to cut rates so they can lure customers as the cheapest plans in their markets.

The rate proposals reflect a combination of big carriers stepping back from initial aggressive pricing, rising medical costs and increased competition during the second year of President Barack Obama's health law. Indeed, several insurers plan to enter new states next year after sitting out some markets in the law's first year. United HealthCare, for example, is going into Connecticut, Michigan, Rhode Island and Washington for 2015....

In all 10 states with complete public rate filings, the insurers with the largest enrollment in 2014 also offered the lowest or second-lowest prices for coverage in the first year of the law's new online insurance exchanges.

With dominant market share now, analysts say, carriers feel they have room to raise rates. Nine of the carriers are proposing average increases for 2015 that range from 8.5% by Anthem Inc. in Virginia to 22.8% from CareFirst for its BlueChoice plans in Maryland. Most of these large carriers' proposed rate increases hover around 10%. Maine's carrier is keeping rates flat.

In Oregon, Moda Health Plan Inc. said it captured about three-quarters of the state's plans sold under the health law for a total of 117,000 enrollees. It has sought a 12.5% increase for next year, citing rising medical costs and the expectation that it will receive less money from a fund designed to offset the cost of sick enrollees.....

At least two Oregon plans are looking to undercut Moda by lowering their rates for next year. Oregon's Health CO-OP, a nonprofit start-up that enrolled fewer than 1,000 people in the first main enrollment period in 2014, is seeking to slash rates by 21%....

Meanwhile, in Connecticut, Indiana, Maryland, Michigan, Oregon, Rhode Island and Washington, insurers that had low enrollments in 2014 or are newly joining the market for 2015 are now bidding to become the least-expensive option for consumers who want to buy silver plans for 2015.

The proposed increases by large carriers partly reflect medical inflation, which is currently projected at around 5.4% for insured people this year, said Richard Evans, an analyst at SSR Health LLC, an investment-research firm in Montclair, N.J. Those increases will outpace gains in household income, making it probable that consumers will feel them, he said.

It is difficult to determine precisely what impact the Affordable Care Act has had on insurance premiums. Insurance companies say fees and coverage mandates in the law have forced them to raise their rates.... Rest of article

13 comments:

Johnny Wier said...

Prices go UP and your paycheck stays the SAME. This is not News.

Alexander Hamilton said...

Since the ACA is mandated healthcare insurance it seems there would be pressure on statehouses to regulate insurance. If we regulate public utilities why would we not do likewise with insurance where a monopoly exists? The idea exists that insurance should be offered across state lines and that the localized market should be destroyed by statehouses. The healthcare market will have churn and companies will find that is a high cost too.

Anonymous said...

My Obamacare policy is saving me $100 per month, now its going go up?

I know it was too good to be true.

Of course you never know with insurance until you file a claim!

Anonymous said...

My Obamacare policy is a Godsend for me. Because of a pre-existing condition and 60+ age, I have been taken to the cleaners each month for the past five years with a wallet-breaking premium of almost $1000 for a very comprehensive healthcare plan with a $1000 deductible. Since I enrolled in Obamacare, my premium dropped to $650 a month with a $250 deductible for a PLATINUM plan that now includes dental! Nuff said!

Anonymous said...

@ 12:12 pm,

It seems cheap because tax payers are footing more than 3/4 of the cost of your policy:

"Gov't pays 76 percent of premium under health law - June 18, 2014":

http://money.msn.com/business-news/article.aspx?feed=AP&date=20140618&id=17709566

Anonymous said...

And just a couple of weeks ago Thad Cochran said that Obamacare is "an example of an important effort by the federal government to help make health care available, accessible and affordable. I'm glad to be involved in that effort. " If this doesn't make people realize that Cochran has to go, nothing will.

Anonymous said...

The comments under the Cochran veteran commercial have been removed so I’ll repost here.

Thanks for your service.

Being a veteran has absolutely no effect on whether I vote to return you to congress or not.

You have continuously voted for things I do not agree with and voted against things I agree with.

I will be voting against you, Mr. Cochran. While you may shake hands here and promise the world, your votes are the only things that count.

Perhaps the liberal Repubs and dems will vote for you, but I will not. I'm voting McDaniel.

And Obamacare, with the website hacks stealing all the info, the doctors and specialty hospitals/services not included, the hikes in premiums, the must-have-it-or-IRS-will-come-after-you, the cancer patients who have spoken out about being denied coverage and their doctors, well, thanks Cochran for funding that.

Anonymous said...

Thanks to all of the new coverage requirements, my health insurance through my employer is now 30% of take home pay. We just got the notice of premium hikes last week.

Thirty percent. It's a house note and then some. I wandered over healthcare.gov and was promptly told my family doesn't qualify for subsidies and the premium there was even higher. They wanted $1700/mo for a shittier plan with fewer providers.

Please explain to me, Senator Cochran, why Obamacare is so wonderful and why I must pay for maternity coverage (when we are not having more kids) in exchange for getting my birth control for free. I'd much rather save that roughly $500/mo in maternity coverage and pay $9 for the pill.

Better yet, why does my 68 year old mother need to buy maternity coverage? It is physically impossible for her to have kids. Who is she covering? Because it damn sure isn't herself.

Anonymous said...

9:23 pm those questions should be asked of the Mississippi Insurance Commission and our State legislators.

Insurance varies wildly from state to state based on how consumer oriented and good at negotiations their commissions have been.

While the article mentions increases, it doesn't list the average costs in the states prior to Obamacare. This article is about increases after year 1 when these providers offered the lowest rates to get people to sign up.

The insurance company " winners" are trying to game the new system.

And, do remember MS didn't want to participate. That's why you're being hit for an even larger increase than those listed above.

You didn't want to play so now you pay.

Anonymous said...

And you can believe 7:46 AM if you
-have been in a coma for over a year or
-have no internet connection to see the tremendous amount of coverage concerning the horrors of Obamacare (loosing current policies, doctors and hospitals no longer available, costs and deductibles out the roof, etc.)

And keep in mind, the employee mandate involving employer plans hasn't even hit yet. Obama pushed that deadline back to after the elections.

Anonymous said...

The USA has a healthcare sector that gobbles up 18% of the economy. The costs on the sector are mostly related businesses including insurance, drug research, antiquated delivery of care, and other inefficiencies. Other simplified systems in Europe or elsewhere have as good health benchmarks but spend much less. The problem is not government subsidized insurance. Its the many hangers on to the supply chain and inability to shake up the professional or bizness guilds that feed on the sick.

Anonymous said...

That's cute, 7:46. And wrong.

Our state insurance commissioner was considered a national expert on the exchanges. Had a plan ready to go. The Obama admin said thanks for shopping and put us on the federal site.

Your turn.

Anonymous said...

As I recall, Chaney's plan for a state exchange was denied by the feds because Gov. Bryant opposed having a state exchange and undercut Chaney on the issue.


Recent Comments

Search Jackson Jambalaya

Subscribe to JJ's Youtube channel

Archives

Trollfest '09

Trollfest '07 was such a success that Jackson Jambalaya will once again host Trollfest '09. Catch this great event which will leave NE Jackson & Fondren in flames. Othor Cain and his band, The Black Power Structure headline the night while Sonjay Poontang returns for an encore performance. Former Frank Melton bodyguard Marcus Wright makes his premier appearance at Trollfest singing "I'm a Sweet Transvestite" from "The Rocky Horror Picture Show." Kamikaze will sing his new hit, “How I sold out to da Man.” Robbie Bell again performs: “Mamas, don't let your babies grow up to be Bells” and “Any friend of Ed Peters is a friend of mine”. After the show, Ms. Bell will autograph copies of her mug shot photos. In a salute to “Dancing with the Stars”, Ms. Bell and Hinds County District Attorney Robert Smith will dance the Wango Tango.

Wrestling returns, except this time it will be a Battle Royal with Othor Cain, Ben Allen, Kim Wade, Haley Fisackerly, Alan Lange, and “Big Cat” Donna Ladd all in the ring at the same time. The Battle Royal will be in a steel cage, no time limit, no referee, and the losers must leave town. Marshand Crisler will be the honorary referee (as it gives him a title without actually having to do anything).


Meet KIM Waaaaaade at the Entergy Tent. For five pesos, Kim will sell you a chance to win a deed to a crack house on Ridgeway Street stuffed in the Howard Industries pinata. Don't worry if the pinata is beaten to shreds, as Mr. Wade has Jose, Emmanuel, and Carlos, all illegal immigrants, available as replacements for the it. Upon leaving the Entergy tent, fig leaves will be available in case Entergy literally takes everything you have as part of its Trollfest ticket price adjustment charge.

Donna Ladd of The Jackson Free Press will give several classes on learning how to write. Smearing, writing without factchecking, and reporting only one side of a story will be covered. A donation to pay their taxes will be accepted and she will be signing copies of their former federal tax liens. Ms. Ladd will give a dramatic reading of her two award-winning essays (They received The Jackson Free Press "Best Of" awards.) "Why everything is always about me" and "Why I cover murders better than anyone else in Jackson".

In the spirit of helping those who are less fortunate, Trollfest '09 adopts a cause for which a portion of the proceeds and donations will be donated: Keeping Frank Melton in his home. The “Keep Frank Melton From Being Homeless” booth will sell chances for five dollars to pin the tail on the jackass. John Reeves has graciously volunteered to be the jackass for this honorable excursion into saving Frank's ass. What's an ass between two friends after all? If Mr. Reeves is unable to um, perform, Speaker Billy McCoy has also volunteered as when the word “jackass” was mentioned he immediately ran as fast as he could to sign up.


In order to help clean up the legal profession, Adam Kilgore of the Mississippi Bar will be giving away free, round-trip plane tickets to the North Pole where they keep their bar complaint forms (which are NOT available online). If you don't want to go to the North Pole, you can enjoy Brant Brantley's (of the Mississippi Commission on Judicial Performance) free guided tours of the quicksand field over by High Street where all complaints against judges disappear. If for some reason you are unable to control yourself, never fear; Judge Houston Patton will operate his jail where no lawyers are needed or allowed as you just sit there for minutes... hours.... months...years until he decides he is tired of you sitting in his jail. Do not think Judge Patton is a bad judge however as he plans to serve free Mad Dog 20/20 to all inmates.

Trollfest '09 is a pet-friendly event as well. Feel free to bring your dog with you and do not worry if your pet gets hungry, as employees of the Jackson Zoo will be on hand to provide some of their animals as food when it gets to be feeding time for your little loved one.

Relax at the Fox News Tent. Since there are only three blonde reporters in Jackson (being blonde is a requirement for working at Fox News), Megan and Kathryn from WAPT and Wendy from WLBT will be on loan to Fox. To gain admittance to the VIP section, bring either your Republican Party ID card or a Rebel Flag. Bringing both and a torn-up Obama yard sign will entitle you to free drinks served by Megan, Wendy, and Kathryn. Get your tickets now. Since this is an event for trolls, no ID is required. Just bring the hate. Bring the family, Trollfest '09 is for EVERYONE!!!

This is definitely a Beaver production.


Note: Security provided by INS.

Trollfest '07

Jackson Jambalaya is the home of Trollfest '07. Catch this great event which promises to leave NE Jackson & Fondren in flames. Sonjay Poontang and his band headline the night with a special steel cage, no time limit "loser must leave town" bout between Alan Lange and "Big Cat"Donna Ladd following afterwards. Kamikaze will perform his new song F*** Bush, he's still a _____. Did I mention there was no referee? Dr. Heddy Matthias and Lori Gregory will face off in the undercard dueling with dangling participles and other um, devices. Robbie Bell will perform Her two latest songs: My Best Friends are in the Media and Mama's, Don't Let Your Babies Grow up to be George Bell. Sid Salter of The Clarion-Ledger will host "Pin the Tail on the Trial Lawyer", sponsored by State Farm.

There will be a hugging booth where in exchange for your young son, Frank Melton will give you a loooong hug. Trollfest will have a dunking booth where Muhammed the terrorist will curse you to Allah as you try to hit a target that will drop him into a vat of pig grease. However, in the true spirit of Separate But Equal, Don Imus and someone from NE Jackson will also sit in the dunking booth for an equal amount of time. Tom Head will give a reading for two hours on why he can't figure out who the hell he is. Cliff Cargill will give lessons with his .80 caliber desert eagle, using Frank Melton photos as targets. Tackleberry will be on hand for an autograph session. KIM Waaaaaade will be passing out free titles and deeds to crackhouses formerly owned by The Wood Street Players.

If you get tired come relax at the Fox News Tent. To gain admittance to the VIP section, bring either your Republican Party ID card or a Rebel Flag. Bringing both will entitle you to free drinks.Get your tickets now. Since this is an event for trolls, no ID is required, just bring the hate. Bring the family, Trollfest '07 is for EVERYONE!!!

This is definitely a Beaver production.

Note: Security provided by INS
.