Health rates NOT driven up by reform

[madamesilverspurs]

from www.coloradopols.com

Health reform NOT driving up rates, Colorado Division of Insurance proves
by: CCHI
Mon Nov 08, 2010 at 16:10:04 PM MST


At the end of last week, at a bad time in the news cycle, the Colorado Division of Insurance released a stunning piece of actuarial data crunching. They looked at the rate filings for increases to health insurance premium renewal filings for 2011 and drilled all the way down into the "why are rates so high" question.

Their answer: Don't blame the Affordable Care Act. In Colorado, the new provisions of federal health reform have contributed, at MAXIMUM 5% to the overall increase of health insurance premiums. And the 5% rates are the outliers; most are in the 1-3 % range.

Yet the health industry and others trying to block implementation of the Affordable Care Act have blamed it for increases of "20%!" "25%!" "30%!" And while the media has widely reported the exaggerated hyperbole of NFIB and the U.S. Chamber about the increases in health insurance premiums, they haven't been nearly as eager to report the facts that DOI has released.

From DOI's press release:


"It's a hot issue for many people, and we figured the best way to address the rumors was to publish the facts, so people could see for themselves what is driving the price of health insurance," said Marcy Morrison, Commissioner of Insurance.

In fact, Division of Insurance has released a chart on how much each new mandate in federal reform has affected rates. For paying an additional 0-5% on your health insurance, you get:

- expansion of coverage for young adults up to age 26
- elimination of pre-existing conditions for kids up to 19
- phasing out of annual limit
- removal of lifetime limits
- prohibiting companies from dropping when you get sick
- covering preventative services with $0 cost sharing

The difference this time is that you actually get something for your money.

Read the DOI's fact sheet on factors affecting rates in 2010. And don't believe the hype.

CCHI :: Health reform NOT driving up rates, Colorado Division of Insurance proves
http://www.dora.state.co.us/insurance/pr/2010MediaReleases/newsHealthRates&FHCREffect110410.pdf

[Dappleganger]

1. Thank you for posting facts.

Businesses will use any excuse to screw us over anyway.

[Milo_Bloom]

2. Of course it did.. just not in the way you think.

It drove up rates because it allowed insurance companies to use it as an excuse to raise rates, since there are no real controls placed on these companies.

It works in the same way that random unpredicted action X IMMEDIATELY drives up gas prices all over the country... it doesn't REALLY, they just use it as an excuse to jack prices... so in many ways then.. it does.

This is what happens when you trust known crooks.

[rhett o rick]

4. B I N G O

[Exilednight]

6. Now that's the truth. n/t

[Catherina]

3. Public Service Announcement by the Colorado Division of Insurance. Lol. n/t

[Cleita]

5. For what it's worth, my Medi-gap insurance

went up $20 a month for next year and there is no COLA on my Soc. Sec. to cover it.

[OhioBlue]

11. I feel ya. I took 2 pay cuts at work and my insurance went up

(before the HCR bill btw)

Plus.. I've had a lot of medical expenses this year and while the regional health system will put me on a payment plan, I've still got like 7 other entities sending me bills... Frustrating b/c I've just now paid off the birth of my son and a surgery and used my tax returns the last 2 years for dental and vision b/c those aren't covered. Just seems like you never really "catch up".

[jgraz]

7. Health reform NOT driving *down* rates, Captain Obvious points out

[madamesilverspurs]

8. That's as may be, but...

Last week at a forum with a roomful of insurance brokers, they were adamant that reform would drive rates upward. I'm guessing those brokers aren't happy with this report.

[jgraz]

9. Of course they were

That's what happens when you have no legislative controls over insurance rates. They'll use whatever excuse they can to rob us blind.

Which is why we needed actual health care reform that wasn't dependent on these criminals.

[BzaDem]

15. It would be hard for a bill not taking into effect until 2014 to drive down rates in 2010

unless the bill involves creating closed timelike curves.

[jgraz]

19. Gee, maybe they should have had it take effect earlier...?

Just a thought. :eyes:

[nadinbrzezinski]

10. as we suspected

thanks for the facts... not that it will matter with the grognards.

[Hoyt]

12. Health Insurance rates have significantly increased annually for at least the last two decades.

I also think we forget that the reform legislation includes a limit that requires health plans to rebate to consumers the amount of the premium spent on clinical services and quality that is less than 85% for plans in the large group market and 80% for plans in the individual and small group markets. That cap effectively limits increases in premiums above actual health benefits paid (admittedly, regulators will have to closely monitor the insurers' attempts at creative accounting, especially for quality improvements) . . . . . well unless the Republicons remove the provision.

We would have definitely been better off with single payer or a public option, but the bill is not a total waste considering the opposition to reform, even among Democrats.

[Scurrilous]

13. K & R

:thumbsup:

[eridani]

14. Of course not. Those sociopathich murdering shitstains will raise rates

--no matter WHAT legislation passes. The sad thing about it it that there are no cost controls whatsoever in HCR. (Don't bother to bring up medical loss ratios--that method of cost control has been tried in 15 states and has been an abject failure.)

[xchrom]

16. recommend

[SidDithers]

17. K&R...nt

Sid

[HopeHoops]

18. I've got three daughters. One's a sophomore in college, next senior in HS, next Sophomore in HS.

The middle one doesn't want to start college right away. President Obama made it possible for me to keep her on our plan. The eldest was able to stay on anyway because she's in college, but I had to jump through hoops, fill out a bunch of forms, and send in copies of her birth certificate, previous semester's transcript, and proof of enrollment in the coming semester to KEEP her on the plan. No more of that shit.

[ljm2002]

20. Unfortunately, it doesn't matter...

...what is driving up the rates. I've pointed this out to people, but they don't care. What they care about is that rates continue to go up. Now that the so-called HCR has passed, they hear and read everywhere about "Obamacare" and how it drives rates up.

If we had implemented a public option, at least there could be some downward pressure applied. But no, we had to create a bill that propped up the current pack of criminal companies that have us by the short hairs.

Defending the bill is further compounded by the delayed benefits. Yes many have benefited from the current bill; unfortunately, not enough to change the narrative. People see rates continue to climb and they naturally ask why HCR is not helping? And they are susceptible to the argument that HCR caused rates to go up. And the Republicans of course are masters at playing on fear and ignorance.