Massachusetts health premiums to go up 10% or more
Healthcare premiums to leap again
Rates could increase ranks of uninsured
By Jeffrey Krasner, Boston Globe Staff, August 2, 2005
Most Massachusetts companies and their workers will get hit with increases in their health insurance premiums of 10 percent or more beginning next year, according to the state's largest insurers.
Insurance companies and many employers are already negotiating rates and coverage for 2006. Insurers and industry consultants say employers may end up absorbing a bigger share of premium increases. Many companies will also opt for health plans in which workers have to pay higher-out-of-pocket costs to keep premiums down.
The double-digit increase -- coming on top of five consecutive years in which premiums increased by at least 10 percent -- are expected to lead to a greater number of uninsured people in the state as more companies and workers find coverage too costly.
''As prices go up, some at the margin won't be able to afford to cover their families," said Michael Doonan, executive director of the Massachusetts Health Policy Forum, a nonpartisan research group. That will drive more people to Medicaid, the federal program administered by states for low-income individuals, Doonan said.
Insurers blamed the continued steep rise of health premiums on increasing hospital costs, rising prescription drug expenses, and an aging population.
Click here for the rest of the story >
Rates could increase ranks of uninsured
By Jeffrey Krasner, Boston Globe Staff, August 2, 2005
Most Massachusetts companies and their workers will get hit with increases in their health insurance premiums of 10 percent or more beginning next year, according to the state's largest insurers.
Insurance companies and many employers are already negotiating rates and coverage for 2006. Insurers and industry consultants say employers may end up absorbing a bigger share of premium increases. Many companies will also opt for health plans in which workers have to pay higher-out-of-pocket costs to keep premiums down.
The double-digit increase -- coming on top of five consecutive years in which premiums increased by at least 10 percent -- are expected to lead to a greater number of uninsured people in the state as more companies and workers find coverage too costly.
''As prices go up, some at the margin won't be able to afford to cover their families," said Michael Doonan, executive director of the Massachusetts Health Policy Forum, a nonpartisan research group. That will drive more people to Medicaid, the federal program administered by states for low-income individuals, Doonan said.
Insurers blamed the continued steep rise of health premiums on increasing hospital costs, rising prescription drug expenses, and an aging population.
Click here for the rest of the story >
1 Comments:
It's unfortunate to see Massachusetts health premiums rise 10% or more. Health insurance is a major aspect to many and I hope something can be done so everyone can be able to keep there coverage.
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