On the Public Health Insurance Marketplaces: Developments the Week of June 24th and July 1st

July 8, 2013

It’s been a big couple weeks for the Affordable Care Act. As we inch towards the opening date for the exchanges, the Obama administration delayed a key provision of the law that requires large businesses to provide health coverage. And while there is concern that the state exchanges are behind schedule, premiums are lower than expected and continue to drop. Although progress has been made, with less than 100 days until the major implementation of the law, much more work remains to be done.

Latest Updates:

Montana– Montana’s insurance commissioner announced that rates on the state’s health insurance exchange are lower than expected. In fact, policies under the ACA will be less expensive than without the law. An average individual could expect to pay $273 for a plan on the exchange, in comparison to the $290 for the same plan without ACA regulations. Prices will range from $141 to $299 per month for 25 year olds and $313 to $664 per month for 55 year olds. The average monthly cost for a small-business policy bought on the marketplace will be about $375 per employee per month compared to $450 without the ACA.

California-Six insurers will sell pediatric dental care on California’s state exchange:Anthem Blue Cross, Blue Shield of California, Delta Dental, Health Net, Liberty Dental and Premier Access Dental

United Health Care announced that it will leave California’s individual marketplace and will focus instead on the small and large group markets. Their departure will force about 8,000 customers to find new coverage.

DC: United Health lowered rates on the DC exchange by 10%. These price revisions will drop rates from an average of $434 to $392 a month.

A second insurer, Aetna, dropped rates on the DC exchange by more than 5%. Average price for a 40 year old buyer dropped from $407 to $385.

Oregon: State regulators marked down proposed carrier rates by as much as 35%. An average 40 year old man could expect to pay $166-$274 for a standard plan. The new proposed rates give Oregonians a good idea of what they may pay this fall, and quell the fear of rate shock.

Rhode Island: Rates on the Rhode Island marketplace are 5-10% lower than expected. Base rates range from $311 to $371 on the individual and small group marketplaces. Individual insurance carriers Blue Cross Blue Shield of Rhode Island and Neighborhood Health Plan of Rhode Island will offer a total of 13 plans on the marketplace this fall. Small group plans will be offered by these two carriers as well as by Tufts Health Plan and United Health Care. These four insurers will offer a total of 199 plans on the small group marketplace.

Iowa– Six insurers have applied to sell plans on Iowa’s exchange. Coventry Health Care of Iowa, Inc. and CoOportunity Health will sell plans on the individual marketplace and Avera Health Plans, Gunderson Health Plans, Sanford Health, and Health Alliance Midwest will provide small group coverage. Iowa’s largest insurer, Wellmark Blue Cross and Blue Shield, will not be included in the marketplace but instead will wait until 2015 to begin selling on the exchange.

State Exchange Updates Table consolidates the latest information on carrier participation and plan rates as they occur.

 

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