Covered California’s rate increases for 2021 are averaging out at a tad less than expected — at 0.5 percent.
That’s a record low for the state Obamacare operation, which heads into the new year with vast uncertainties due to the White House’s attempts to dismantle federal support.
The average preliminary rate change announced in August was revised downward from 0.6 percent. “The lower rate change is the result of reduced rates for Health Net’s EPO and PPO products, which are subject to review the California Department of Insurance,” Covered California said. Rates were reviewed and approved by the California Department of Managed Health Care and the California Department of Insurance.
“Covered California continues to provide stability and lower costs in the face of national uncertainty in health care,” said Covered California chief Peter Lee.
President Trump’s administration has asked the Supreme Court to strike down the Affordable Care Act, which would eliminate federal support dollars for Covered California and other exchanges set up under Obamacare. The expected appointment of conservative Amy Coney Barrett to the court has added to fears that Trump will succeed. The Supreme Court will hear a key case addressing the issue Nov. 10.
California’s health-insurance operation begins renewal of the largest number of consumers in its six years — with more than 1.5 million consumers notified that they have until Dec. 15 to finalize their 2021 plan choice.
Covered California earlier this month announced a 1.5 percent weighted average rate change for Covered California for Small Business plans, the lowest hike since the exchange opened in 2014.
Open enrollment for the upcoming year begins Nov. 1 and runs through Jan. 31. The renewal period for members began Oct. 1.
Speak Your Mind