Tuesday, August 24, 2010
Individual Health Plans: Rates and Increases
California Senate Approves Bill To Limit Insurance Premium Hikes To Once Yearly.
The AP (8/24) reports, California health insurance providers "would be prohibited from raising their rates more than once a year under" a bill (AB 2042) the state Senate approved yesterday in a 21-13 vote. The bill, which now moves to the Assembly, would "apply to individual healthcare policies, not group plans." Supporters say that the bill would "provide Californians with greater predictability when it comes to their health insurance." Opponents, who include "some of the state's largest health insurers," say breaking up fee increases "throughout the year reduces the financial burden on consumers." If approved, the legislation "would take effect in January."