Two Co-Ops — N.M. Health Connections, Minuteman Health of Mass. — Sue Feds Over Health Law Formula
The two health insurance cooperatives have filed lawsuits over the health law's risk-adjustment formula, which was billed as a way to balance the marketplace by having insurers compensate each other for providing coverage to sicker customers. This suit is the second one of its kind. Also, news outlets report on premium costs for Obamacare plans in Illinois and New Hampshire.
The Wall Street Journal:
Two More Health Co-Ops Sue Over Health Law’s Risk-Adjustment Formula
Two more health cooperatives have filed lawsuits against the Obama administration over a program in which insurers compensate each other for taking on sicker customers under the Affordable Care Act, following a similar lawsuit in June from another startup company. New Mexico Health Connections and Minuteman Health of Massachusetts filed their cases on Friday afternoon, arguing the Obama administration mismanaged the program known as “risk adjustment” by creating an inaccurate formula that overly rewarded big insurers. (Radnofsky and Wilde Mathews, 8/1)
New Hampshire Public Radio:
Minuteman Health Sues Feds Over Affordable Care Act 'Risk Adjustment' Formula
A company that offers health insurance plans in New Hampshire under the Affordable Care Act is suing the federal government over a part of the health care law. The lawsuit from Minuteman Health aims to block the current form of the federal Risk Adjustment program, which aims to stabilize the health care market by spreading the costs that come from covering sicker people among insurers with healthier clients. (Carlson, 8/1)
Chicago Tribune:
Illinois' Obamacare Plans Seek Big 2017 Premium Hikes
Insurers want to crank up the cost of health insurance premiums by as much as 45 percent for Illinois residents who buy coverage through the Affordable Care Act's marketplace. Blue Cross Blue Shield of Illinois, the most popular insurer on the state's Obamacare exchange, is proposing increases ranging from 23 percent to 45 percent in premiums for its individual health-care plans, according to proposed 2017 premiums that were made public Monday. The insurer blamed the sought-after hikes mainly on changes in the costs of medical services. (Schencker, 8/1)
New Hampshire Union Leader:
NH Health Insurance Hikes Range From Under 1% Up To 60%
The latest rates for health insurance under Obamacare in New Hampshire range from a drop of less than a half-percent to nearly a 60 percent increase, depending on the insurer. All insurers offering health plans in the exchange had to present their proposals by Monday for the year beginning Jan. 1. The dominant health insurer, Anthem, had the lowest proposal — a decrease of four-tenths of 1 percent from the preferred provider organization for the “off exchange” population. (Landrigan, 8/1)
