Dive Brief:
- Insurance commissioners in multiple states are greenlighting significant premium increases for 2016, with one of the highest publicized hikes being the 36.3% increase by BlueCross BlueShield of Tennessee, the largest health insurer in the state.
- The increases are necessary to cover the unexpected high costs insurers have incurred from sick people who enrolled in individual health insurance policies during the ACA's first two years.
- The trend will not only have a financial impact but a political one, as it appears likely to become a major platform during the 2016 campaigns.
Dive Insight:
While there are numerous states seeing modest increases, and some have yet to make their decisions, the highest hikes are drawing the majority of attention.
Among those noted by The Wall Street Journal:
- Kentucky approved a 25.1% increase for the Kentucky Health Cooperative.
- Oregon approved an average 25.6% increase for Moda Health Plan, Inc.
- Ohio approved a 14.5% increase for Medical Mutual.
- Michigan approved an average 11.4% increase for BlueCross BlueShield.
- Idaho will see an average 23% increase by Blue Cross of Idaho Health Service, Inc.