How Much Will You Pay for Health Care in 2015? What You Need to Know About Healthcare Inflation-Part 1

  Probably you have seen headlines like this one: “O-Care premiums to skyrocket.” The warning, which was posted on The Hill, seemed designed to cheer conservatives distraught by Obamcare’s enrollment numbers. It began by announcing that next year, “premiums will double in some parts of the country. The sticker shock will likely bolster the GOP’s prospects in November and hamper ObamaCare insurance enrollment efforts in 2015.” Where did the reporter get her information?  The story is based on interviews with “health insurance officials.” Why would they issue such dire predictions? Perhaps they are trying to soften us up so that when insurance rates rise by “only” 7% to 10%, we’ll be surprised and grateful? (This is just a thought.) The truth is that there is absolutely no reason to believe the same old, same old, fear-mongers who claim that in 2015, rates will spiral “by 200% to 300%.” But what about those who predict double-digit hikes?  Wellpoint, the biggest commercial insurer in the Exchanges, recently told Bloomberg that it may ask for “double-digit plus” increases when it proposes 2015 rates sometime next month. Wellpoint can propose whatever it wishes, but I very much doubt that state regulators would accept such stiff increases. A combination of regulation and competition will keep a lid on premiums both in the Exchanges, and off-Exchange, just as it did this year. My guess is that, in most states, rates wi...
Source: Health Beat - Category: American Health Authors: Tags: 2015 premiums Exchange premiums Exchanges health care costs slowing health care inflation Obamacare Drew Altman Ezekiel Emanuel premiums slowing Source Type: blogs