Koller authorizes insurance surcharges

PROVIDENCE – Health Insurance Commissioner Christopher F. Koller, who earlier this month put a halt on health care reform-related surcharges that carriers were adding to quotes for policies effective Oct. 1 or later, has now authorized charges of 0.6 to 2.25 percent for two of the three commercial carriers.
The federal reform law requires health plans issued after Sept. 23 to cover dependents through age 26, provide certain preventive services at no cost to members, and impose no lifetime limits on benefits, among other requirements.
To cover the extra cost of these changes, Blue Cross & Blue Shield of Rhode Island had started adding 1.8 to 3 percent to its rates in quotes for renewals and new policies effective Oct. 1.
Tufts Health Plan told Providence Business News that it planned to add 2 percent to its own rates effective Oct. 1, but a spokeswoman this week said no quotes were actually sent out with the surcharge.
Neither had sought approval from Koller, even though state laws and regulations require his OK for any rate changes.
UnitedHealthcare of New England filed a request for rate hikes of 0.6 to 1.1 percent to cover the cost of enhanced preventive-care coverage – more or less depending on the current terms of each plan.
Koller approved United’s request, and he gave Blue Cross the full preventive-care hike, but only 1.25 percent for the dependent coverage. &#8226