As 2015 rolls nearer, many Californians are going to see a small increase in their health insurance premiums for next year. Averaging at about a 4.2% overall increase, some plans are going up while some are even going down – as much as 8.5% lower.
The reason for these fairly low increases is because Covered California actively negotiated with insurance companies to keep rates down while delivering wider networks of doctors and hospitals. What’s more, individuals are not locked into their current plans for 2015, which means that consumers have a choice from many options.
Ten health insurance companies have been selected to participate in the California health exchange next year. While they are the same companies from 2014, each company had to submit bids in order to return for 2015. The list represents a mix of commercial, nonprofit, Med-Cal and regional plans:
- Anthem Blue Cross of California
- Blue Shield of California
- Chinese Community Health Plan
- Health Net
- Kaiser Permanente
- LA Care Health Plan
- Molina Healthcare
- Sharp Health Plan
- Valley Health Plan
- Western Health Advantage
* It’s important to note that initial rates that have been submitted by the above companies are subject to change based on a reasonability review by state regulators. Also, 9 out of 10 current enrollees in health plans through Covered California are receiving subsidies that reduce their overall costs and those subsidy rates will stay virtually the same or increase for 2015.
Also, the Affordable Care Act (ACA) has mandated that no one can be denied coverage due to a pre-existing condition and that will continue indefinitely.