How Does The Federal Health Law Affect Insurance Price Hikes?

What will insurance buyers find when they look to get or renew coverage?i i

hide captionWhat will insurance buyers find when they look to get or renew coverage?


Zack Blanton/iStockphoto

What will insurance buyers find when they look to get or renew coverage?

What will insurance buyers find when they look to get or renew coverage?

Zack Blanton/iStockphoto

Buying health insurance, even on the exchanges created by the health law, can be an expensive proposition. And some consumers are already wondering how much coverage will cost next year. That led to a recent question about the rules that apply to insurance premiums.

I understood that under the health law, premiums for individuals could not increase by double digits, that rate increases were capped at under 10 percent unless approved by the government. Isn’t that right?

The health law requires insurers in the individual and small group markets that propose premium increases of 10 percent or more to disclose publicly that information and explain why they think the increase is justified. You can find details of proposed increases on many state websites, and a consumer-friendly version of the information will soon be available on HealthCare.gov, according to an official at the Centers for Medicare Medicaid Services.

States, which have primary responsibility for regulating insurance rates, provide varying

Article source: http://www.npr.org/blogs/health/2014/06/17/322608139/how-does-the-federal-health-law-affect-insurance-price-hikes?ft=1&f=131849999

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