Aug. 02--SANTA CRUZ -- Anthem Blue Cross is bowing out of the Covered California market in Santa Cruz County as of Jan. 1, and 1,360 county residents with Anthem will have to pick a new one for 2018.
Most Covered California plans will be more expensive next year, up 12.5 percent on average in Santa Cruz County and statewide. In releasing 2018 rates Tuesday, Covered California officials recommended people shop around.
Rates in Santa Cruz County will vary significantly from insurer to insurer, starting Jan. 1.
--Blue Shield, with 6,010 enrolled, will raise rates 8-24 percent, depending on the plan.
--Kaiser Permanente, which opened Jan. 1 and has 4,700 enrolled, will raise rates 3-7 percent.
--Health Net, whose enrollee numbers have dwindled to 570, will lower rates 10 percent.
The increases come on top of 2017 increases that averaged 28.6 percent in Santa Cruz County, higher than the state average.
"Change is the new normal," veteran Santa Cruz insurance agent Pamela Fugitt-Hettrick said after getting up at 4 a.m. Tuesday to attend a Covered California seminar for agents in Sacramento.
Only two people from Santa Cruz County attended: Fugitt-Hetrick, who has been certified to sell Covered California policies from the start, and her associate LaVyrne Lomas. They work at DCD Financial and Insurance Services.
In late August, premiums could go up another 12.4 percent on average for silver plans if Covered California deems that is necessary to address uncertainty over federal funding that reduces deductibles and co-pay for 650,000 Californians. A silver plan covers 70 percent of the annual health care cost, with a $35 copay for a primary care visit.
This year, 58 percent of those who signed up for health insurance under the Affordable Care Act qualified for these cost reductions, but these subsidies were the subject of a lawsuit by House Republicans since Congress had not appropriated funds to pay for them.
A federal judge ruled in 2016 to end the subsidies, but the Obama administration appealed. If the Trump administration dropped the appeal and Congress did not appropriate funds, the subsidies could stop.
ANTHEM DECLINE
Anthem dominated the Covered California market in Santa Cruz County's region, with a 64 percent share in 2014. Same thing last year, when Anthem held a 64 percent share compared to 32 percent for Blue Shield and 4 percent for Health Net.
https://insurancenewsnet.com/oartic...ta-cruz-county-as-rates-increase-12-5-percent
Most Covered California plans will be more expensive next year, up 12.5 percent on average in Santa Cruz County and statewide. In releasing 2018 rates Tuesday, Covered California officials recommended people shop around.
Rates in Santa Cruz County will vary significantly from insurer to insurer, starting Jan. 1.
--Blue Shield, with 6,010 enrolled, will raise rates 8-24 percent, depending on the plan.
--Kaiser Permanente, which opened Jan. 1 and has 4,700 enrolled, will raise rates 3-7 percent.
--Health Net, whose enrollee numbers have dwindled to 570, will lower rates 10 percent.
The increases come on top of 2017 increases that averaged 28.6 percent in Santa Cruz County, higher than the state average.
"Change is the new normal," veteran Santa Cruz insurance agent Pamela Fugitt-Hettrick said after getting up at 4 a.m. Tuesday to attend a Covered California seminar for agents in Sacramento.
Only two people from Santa Cruz County attended: Fugitt-Hetrick, who has been certified to sell Covered California policies from the start, and her associate LaVyrne Lomas. They work at DCD Financial and Insurance Services.
In late August, premiums could go up another 12.4 percent on average for silver plans if Covered California deems that is necessary to address uncertainty over federal funding that reduces deductibles and co-pay for 650,000 Californians. A silver plan covers 70 percent of the annual health care cost, with a $35 copay for a primary care visit.
This year, 58 percent of those who signed up for health insurance under the Affordable Care Act qualified for these cost reductions, but these subsidies were the subject of a lawsuit by House Republicans since Congress had not appropriated funds to pay for them.
A federal judge ruled in 2016 to end the subsidies, but the Obama administration appealed. If the Trump administration dropped the appeal and Congress did not appropriate funds, the subsidies could stop.
ANTHEM DECLINE
Anthem dominated the Covered California market in Santa Cruz County's region, with a 64 percent share in 2014. Same thing last year, when Anthem held a 64 percent share compared to 32 percent for Blue Shield and 4 percent for Health Net.
https://insurancenewsnet.com/oartic...ta-cruz-county-as-rates-increase-12-5-percent
