Wednesday, November 23, 2011

Using new health law, HHS challenges Pa. insurer's rate increases - latimes.com

Using new health law, HHS challenges Pa. insurer's rate increases - latimes.com:

Insurance premiums have historically been regulated by state governments. But oversight has varied substantially from state to state, with some doing almost no review and some actively blocking rates they deem excessive.

The Obama administration this year announced it would review any rate increase above 10% in states that do not have the capacity to do reviews themselves.

The Department of Health and Human Services is reviewing 35 such increases. And administration officials have completed two, including the Everence rate hike in Pennsylvania.

They have already determined that an 11% increase that Everence is imposing on customers in Montana is reasonable.

Another 77 rate hikes of more than 10% are being reviewed by state regulators around the country, according to the Department of Health and Human Services.


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