California insurance commissioner to Blue Shield: Delay rate hike

[cal04]

Source: LA Times

California’s new insurance commissioner called Thursday for health insurer Blue Shield of California to delay controversial new rate hikes for 60 days, saying recent increases by the industry were alarming.

On the job since Monday, Commissioner Dave Jones said he wants to take a closer look at the Blue Shield increases planned for nearly 200,000 individual policyholders, whose rates would rise for the third time since October -- some as much as 59% total.

“I believe the premium increases are unsustainable,” Jones said in a meeting with The Times, referring to successive rate hikes in recent years by Blue Shield and its competitors in California. “I think we need to scrutinize everybody.”

(snip)
“The people of California have a right to be concerned when they see this kind of rate increase month after month,” Sebelius said in a statement. “We have reached out to Commissioner Jones and know he is doing everything in his power to help consumers. We stand ready to assist him and the people of California in any way that we can.”

Read more: http://latimesblogs.latimes.com/money_co/2011/01/california-insurance-commissioner-to-blue-shield-delay-rate-hike.html

[JDPriestly]

1. Go, Dave. That's what we elected you to do. Thanks

for standing up for Californians!!!!

[Merlot]

3. Dave is great!

[wilt the stilt]

2. The individual market

I used to buy my own insurance. The plan of insurance companies is too price insurance so high that all that is affordable is catastrophic insurance. The perfect scenario for the insurance company. No claims and pure profit.

[JDPriestly]

4. Exactly.

I have to say that if you are in S. Cal., Consumer Reports rates Kaiser very highly.