- In only two surveyed states will insurance premiums rise by more than 5% in 2015, according to a new survey from the Urban Institute and the Robert Wood Johnson Foundation. In most of the 17 states (plus the District of Columbia) examined, premiums will either stay relatively flat or decrease.
- On average, premiums for silver plans will drop in six states, and in the remaining ten, premiums will increase by 5% or less.
- Large cities like Baltimore, Denver, Minneapolis and New York City saw small increases or even rate decreases, while in rural areas like Tennessee, Michigan and West Virginia, premiums were more likely to go up.
This study appears to back up the theory that increasing competition in the exchange marketplaces will drop premiums across the board. It is notable that rural areas were more likely to see rate hikes, where there are presumably fewer active insurers vying for the customer base. Insurers are also backing up this logic: United will jump into 24 marketplaces across the country in 2015 and CEO Bruce Broussard noted, "United is coming in. There is more competition coming into the marketplace. It's going to make us all a little bit more competitive."