Regence Insurance Rate Increases, Public Hearing on June 2
When Regence BlueCross BlueShield announced its intent to raise premiums for Oregonians who have individual health insurance (59,000 customers) by an average of 22%, the news was met with outrage by customers.
The rate filing submitted by Regence with the Oregon Insurance Division was unusual enough that the Insurance Division has scheduled a June 2 public hearing to hear consumer concerns.
According to the Oregon State Public Interest Research Group (OSPIRG), this is the fifth year in a row that Regence has filed for double-digit increases to insurance premiums. Regence is the largest health insurer in Oregon. In January, the Insurance Division approved a 14% rate hike by Regence which affected 70,000 Oregonians.
Meeting Details
Thursday, June 2
4.30 pm - 7.00 pm
Portland State University Campus
University Place, 310 SW Lincoln Street, Portland (map)
More Info
The Insurance Division does sometimes negotiate rate requests with insurance groups, and recently lowered a rate request by HealthNet of Oregon. Since it's unusual for the Insurance Division to hold a public hearing regarding rate increases, it is important that affected consumers with an opinion make sure their voice is heard.
Even if you can't attend the meeting, you can make your voice heard by filing a comment with the Oregon Insurance Division before June 15.
File a comment through this page on the Insurance Division's website.
Nationwide, insurance rate increases are under increasing scrutiny. This week, the US Department of Health and Human Services issued a ruling that rate increases over 10% will be reviewed more stringently than in the past, and that the responsibility for that review will fall on the states first. Kathleen Sebelius, the Health and Human Services Secretary announced the ruling, saying "Effective rate review works it does so by protecting consumers from unreasonable rate increases and bringing needed transparency to the marketplace."
Oregon consumers getting assistance with health insurance decisions
A new $400,000 federal grant to the Department of Consumer and Business Services will allow the department to provide consumers with a central source for information and assistance with health insurance.
The funding is going to allow the department to create a one-stop shop for consumers to get information on health insurance, provide outreach on insurance options to hard-to-reach and disproportionately uninsured populations, and help consumers with language, literacy or other barriers to complete insurance appeals paperwork, file complaints, or enroll in a health plan.
"In addition to helping consumers directly, the resources will be helpful to state agencies, insurance company customer service staff, insurance agents, and non-profit organizations that work daily with Oregonians who are trying to navigate health insurance."
- Teresa Miller, administrator, Department of Consumer and Business Services, Insurance division.
You can keep apprised of the department's efforts on their home page or via twitter.
Additionally, the Oregon Health Authority has released a tool which compares the cost of health care hospital by hospital throughout Oregon. It allows consumers to see large discrepancies between what hospitals charge. Oregon is one of the first states to publicly report data based on what is actually paid to hospitals. Using the tool, consumers can figure out that an angioplasty at St Charles Medical Center - Bend costs more than three times the price than at Tuality Community Hospital in Hillsboro.
"In Oregon, medical inflation has grown nearly 8 percent every year for the last five years, more than double the rate of general inflation. The Oregon Health Authority is working to lower or contain these rising costs. This web tool is just one step in providing clear, transparent information to Oregonians."
- Tina Edlund, deputy director, Oregon Health Authority.
Bogus Health Insurance Company Scams Oregonians
After an estimated 400 Oregonians purchased bogus health insurance plans from American Trade Association Inc, the Oregon Insurance Division ordered the
fraudulent company to stop selling insurance in the state. Oregonians who bought these fraudulent plans have until August 31 to file any unpaid claims
with the Tennessee-based liquidator who is shutting down the scam operation.
At least eight other states have issued similar orders. Nationally, the companies collected at least $14.4 million in premiums from 12,400 policyholders in 2009 and early 2010.
Tennessee regulators shut down the companies in May and canceled all policies, saying the firms were never licensed to sell insurance. A court in that state found the company violated insurance laws, acted dishonestly and posed a significant hazard to the public.
ATA sold bogus health insurance policies underwritten by Serve America, a company that appears to have never existed, Tennessee officials allege. ATA owners Bart S. Posey Sr. and Angie Posie used $2.6 million of the money for themselves, buying property, automobiles and a $138,000 suite and ticket package to University of Alabama football games, according to a court complaint by Tennessee Commissioner of Commerce and Insurance.
These fraudulent companies usually present themselves as affordable options for working families. If consumers are unsure about a companies’ legitimacy they can contact the Oregon insurance division by calling 1888-877-4894. Read the full story from the Oregonian.
What Do You Buy That You Never Want to Use?
As some homeowners who suffered huge losses from Hurricane Katrina have discovered, it pays to fight for your rights. According to Reuters, State Farm, the largest provider of home insurance in the country, is close to settling hundreds of lawsuits from Mississippi homeowners who claimed that State Farm inappropriately denied claims for damage the hurricane caused (Read more at the Motley Fool.com).
