The Eye Popping 2016 Obamacare Rate Increases Are Out

[somarco]

Time requested more than anyone else, 61%.

20% cap seemed to be the magic number for those requesting more than 20%.

 

[RayNY]

NY has the same type of prior approval. https://myportal.dfs.ny.gov/web/prior-approval/summary-of-actions-premium-requests. 10% used to be the threshold where they'd just approve anything under that. Carriers that needed more would just apply for double, knowing DFS would just cut it in half.

Things changed after ACA, nothing is safe anymore, and they cut it by more than half on average.

12.5% avg increase on IFP, reduced to 5.7%. 13.9% avg increase on Group, cut to 6.7%.

 

[AllenChicago]

NY has the same type of prior approval. https://myportal.dfs.ny.gov/web/prior-approval/summary-of-actions-premium-requests. 10% used to be the threshold where they'd just approve anything under that. Carriers that needed more would just apply for double, knowing DFS would just cut it in half.

Things changed after ACA, nothing is safe anymore, and they cut it by more than half on average.

12.5% avg increase on IFP, reduced to 5.7%. 13.9% avg increase on Group, cut to 6.7%.

I suppose those carriers will then need to reassess whether they want to do a quick exit (like Cigna in Fla), or if they really want to stay, cut admin expenses. Things like commissions, worker hours, etc..

 

[HealthRisk]

Things changed after ACA, nothing is safe anymore, and they cut it by more than half on average.

Health Republic was one of the carriers with a sizeable increase but it won't matter. I wonder how that will impact other carrier rates.

 

[RayNY]

Health Republic was one of the carriers with a sizeable increase but it won't matter. I wonder how that will impact other carrier rates.

HRINY was priced far below where they should have been, and expected the "three R's" to make them whole after an inevitable loss.

I think the rest are priced far closer to a sustainable premium. Only experience will tell, we'll see the repercussions in next year's filings.

Allen, I haven't seen any indication of the remaining carriers making any drastic changes or pulling out. They all seemed pretty happy to reclaim their share of HRINY's block of business. To be clear, it's not a bad block of business by any standard.

 

[AllenChicago]

Saturday, October 17, 2015

HHS and state Insurance Departments approved a boat load of plans and rates yesterday. Would someone please post here if you come across a national Web Broker Entity, or Quote Site, that's updated with 2016 plan info? TIA.

 

[yorkriver1]

Saturday, October 17, 2015

HHS and state Insurance Departments approved a boat load of plans and rates yesterday. Would someone please post here if you come across a national Web Broker Entity, or Quote Site, that's updated with 2016 plan info? TIA.

Not aware of anyone yet. Bonus question: when they do get all the rates, does that legitimately give the option to calculate subsidies? All the plans in the area must have rates available to figure the 2nd lowest silver plan rate. Our BCBS affiliate has their rates on site for quoting, but the subsidy calculator, of course, doesn't work right for 2016 quoting with subsidy..

 

[russelltw]

UnitedHealthone has their rates on their site also. So far in NC, I have seen 20-28% for one carrier. Another is averaging at 34%. Waiting on our third carrier now that Humana pulled the plug on exchange plans in NC. Third carrier asked for around 23%.

 

[HealthRisk]

Not aware of anyone yet. Bonus question: when they do get all the rates, does that legitimately give the option to calculate subsidies? All the plans in the area must have rates available to figure the 2nd lowest silver plan rate. Our BCBS affiliate has their rates on site for quoting, but the subsidy calculator, of course, doesn't work right for 2016 quoting with subsidy..

It should. Given the numerous entities pulling out last week and I presume a few more this next week, the subsidy value could be a shifting target in some states until 11/1.

 

[ActuaryGuy]

Given the numerous entities pulling out last week and I presume a few more this next week, the subsidy value could be a shifting target in some states until 11/1.

I agree with this. I think the instability may also be the reason window shopping is not open yet. I think getting solid data on 2nd lowest silver will be shaky for a while, perhaps even beyond 11/1.