Illinois Insurers to Increase Premiums as High as 45%

Blue Cross Blue Shield of Illinois proposed increases from 23 to 45 percent

August 2, 2016

Insurers in Illinois are set to increase premiums by as much as 45 percent for those buying coverage through the Obamacare marketplace, the Chicago Tribune reported.

The most popular insurer in Illinois on the Affordable Care Act exchange, Blue Cross Blue Shield, has proposed increases from 23 to 43 percent for premiums for individual health-care plans saying the hike is due to changes in the cost of medical services.

"No final decisions have been made regarding our 2017 offerings," the insurer said. "While some carriers have chosen to exit the market, we are working toward continuing to provide health insurance options for consumers in Illinois. However, that must be done in a sustainable way."

Another insurer, Coventry Health Care of Illinois, has proposed a rate increase of 21 percent.

"The increases aren’t a surprise as many insurers have been losing money in the marketplace," according to Katherine Hempstead, a senior adviser at the Robert Wood Johnson Foundation.

"I don’t think the Insurance Department wants to push the carriers off a cliff and tell them they can’t raise their rates and then they’re upside down actuarially," Hempstead told the Chicago Tribune. "You can’t sustain a situation where most carriers lose money."

Published under: Obamacare