Insurers Concede: All Children GI

[Crabcake Johnny]

Insurers agree to comply with intent of new health care law - CNN.com

I guess the carriers don't want the bad press. All children will be GI starting Sept 23rd. There, however, is no mention of rates which, until the subsidies kick in will be astronomical.

I'm just guessing that there won't be any change for pricing regarding children who qualify. However, if they don't qualify the rates will be insane. Opinions?

 

[Dave020]

Hmmmmmmmm.....

By 9/23 carriers will have to accept all children for coverage regardless of pre-existing conditions.

By 1/1/10 carriers will have to be operating at a MLR of at least 80% on those plans.

No further mandate of coverage until 2014.

At least one national CEO is has stated that if reform passes and MLR is instituted, his company will leave IFP (at least in CA).

One might wonder what plans these children may be buying exactly? Or what plans might agents be selling?

 

[Crabcake Johnny]

We'll be guessing for the next four or so months. Word to the wise (yet again I state this) - watch taking those commission advances through carriers who are not major players.

 

[scagnt83]

I figured this would probably happen. The last thing they need is more bad press.
Plus this will go ahead and cause premiums to increase, so people will get used to the rate hikes early; it wont make the later ones seem quite so bad...

But the pending rate increases could also cause cause people to be more opposed to obamacare...

 

[somarco]

By 1/1/10 carriers will have to be operating at a MLR of at least 80%

Is this a typo, Dave? I was under the impression the dictated loss ratio's didn't kick in until 2014.

As for the kids, rates will skyrocket considerably making COBRA (where it is an option) seem like a free ride.

It will be interesting to see how quickly the states approve mid-year rate filings. I assume other states are like GA in that the DOI approves plans, rates, underwriting AND the maximum rate up.

Here we have Aetna with a max rate of 100% while other carriers are in the 50 - 70% range. A 100% rate up won't cut it.

If they can't get their rate revision, I wonder how many will simply stop writing coverage for children under age 18?

 

[Winter_123]

But the pending rate increases could also cause cause people to be more opposed to obamacare...

The democrats will successfully use any rate increases to promote the jihad against the carriers, rather than against MaoCare.

 

[somarco]

Obaba is touting "HIS" health plan but in truth he is standing around with his pants on his ankles and his pud in his hand.

AT&T, Caterpillar, 3M, et al are poking holes in his plan by releasing their estimated first year costs of Obabacare. Senior Flaxman is only making things worse by calling them on the carpet, which of course will be evening news fodder, and making them PROVE their numbers.

Of course Congress never had to prove anything, including the so-called deficit neutral reform bill.

But before the child premiums are exposed for what they really are, and most likely after the Flaxman hearings, those risk pool rates will hit the streets.

I can hear the torch & pitchfork crowd growing restless.

 

[Crabcake Johnny]

Somarco - honest question: Is this a case where association-based carriers have an easier job since their rates don't have to be approved by the states?

 

[scagnt83]

AT&T, Caterpillar, 3M, et al are poking holes in his plan by releasing their estimated first year costs of Obabacare. Senior Flaxman is only making things worse by calling them on the carpet, which of course will be evening news fodder, and making them PROVE their numbers.

Of course Congress never had to prove anything, including the so-called deficit neutral reform bill.

This just shows how ignorant our congressmen and the white house really are.
They are now bashing these CEOs in the press for publishing these markups. But heres the thing; public corporations are required by SEC regs to disclose to shareholders any financial changes to the corporate structure that would affect stock price. I would say that a billion dollar mark up would affect the stock price just a little bit....

They are trying to demonize these CEOs, but the CEOs are just trying to abide by the law! And that is exactly what they will say on camera to these congressmen... and by law these corporations have to be able to prove this, so by announcing this that means that they have the numbers ran and ready to go.

If washington pushes this subject they will just be shooting themselves in the foot even more. These are not CEOs of banks or insurance companies, these are well liked companies; the public will listen to these guys. And these CEOs wont put up with this much longer before they go on their own media campaigns against washington!

 

[stuy119]

This just shows how ignorant our congressmen and the white house really are.
They are now bashing these CEOs in the press for publishing these markups. But heres the thing; public corporations are required by SEC regs to disclose to shareholders any financial changes to the corporate structure that would affect stock price. I would say that a billion dollar mark up would affect the stock price just a little bit....

They are trying to demonize these CEOs, but the CEOs are just trying to abide by the law! And that is exactly what they will say on camera to these congressmen... and by law these corporations have to be able to prove this, so by announcing this that means that they have the numbers ran and ready to go.

If washington pushes this subject they will just be shooting themselves in the foot even more. These are not CEOs of banks or insurance companies, these are well liked companies; the public will listen to these guys. And these CEOs wont put up with this much longer before they go on their own media campaigns against washington!

Just remember, these CEOs are much smarter than the average congressman, and will be happy to prove it on video. And it will be fun to watch.