April 29 2013
Rate Increases: Real Steep, Real Scary, Real Soon
The news is abuzz today with this story out of Maryland: Insurer CareFirst BlueCross BlueShield has proposed rate increases to the tune of 25 percent for next year. This whopping increase would be a slap in ObamaCare's face.
The insurance company is explaining that the health law's many regulatory requirements - including especially the requirement that insurers take all customers - will jack up prices across the board. Maryland is not alone in this.
A recent report by the Society of Actuaries details how more than 40 states should expect double-digit increases in the cost per-member per-month. Costs don't exactly equal premiums, but you can bet premium increases are in store where the cost of claims will spike.
Even Dept. of Health and Human Services Secretary Kathleen Sebelius has admitted that ObamaCare will cause premium inceases. As the Washington Post article points out, the younger you are, the steeper your rate increase will be.
None of this is news... ObamaCare critics have been saying for years that sky-high premiums would be the result. What will happen when the higher bills go out in the mail? (Hint: "train wreck.")