Affordable? Try again…

affordableResearch completed by the Kaiser Family Foundation shows that we can expect a quantifiable increase again in 2016 for insurance premiums.  Citing research in 11 major metropolitan areas and DC, KFF found an average of 4.4% increase in the projected premiums for the benchmark “2nd lowest cost Silver Plan”.    This comes on the heels of an “average” increase of 2% in premiums in 2015.  According to KFF,

The ACA’s rate review provision requires premium increases over ten percent to be made public. As a number of individual market insurers are requesting 2016 increases well above 10 percent, concern has been raised over the affordability of premiums in the coming year. However, these increases are not necessarily representative of the range of products from which consumers will be able to choose, and similar data is not widely available for the plans with moderate increases or decreases.  (read full report)

Dropping the Bomb

say_whatWhile rate increases under 10% are not required to be published and as such, may fly under the radar, some companies’ requests are so large, there is question as to whether or not they’ll even be allowed!  New Mexico Blue Cross Blue Shield has requested a whopping 50% increase in premiums, the Maryland and Tennessee Blues are shooting for something over 30%, and Oregon based Moda Health, who has 40% of the state’s enrollees, is looking for a 25% rate increase approval.  (see the full article here)