Blue Shield of California seeks rate hikes of as much as 59% for individuals
Insurer says the increases result from fast-rising healthcare costs and other expenses resulting from new healthcare laws. The move comes less than a year after Anthem Blue Cross tried and failed to raise rates as much as 39%.
San Francisco-based Blue Shield said the increases were the result of fast-rising healthcare costs and other expenses resulting from new healthcare laws.
“We raise rates only when absolutely necessary to pay the accelerating cost of medical care for our members,” the nonprofit insurer told customers last month.
In all, Blue Shield said, 193,000 policyholders would see increases averaging 30% to 35%, the result of three separate rate hikes since October.
Nearly 1 in 4 of the affected customers will see cumulative increases of more than 50% over five months.
Then they should admit their business is based upon a failed model, close up shop and everyone can be on HSA's.