PROVIDENCE – Attorney General Peter F. Neronha is urging the R.I. Office of the Health Insurance Commissioner to reject Blue Cross & Blue Shield of Rhode Island's proposed 14.3% individual market increase affecting more than 17,500 consumers, his office announced Friday.
In his statement as R.I.’s health care advocate, Neronha said Blue Cross has sought and received a combined 21.6% rate increase since 2019 and “we’re now looking at nearly 40% in seven years.
“Blue Cross and Blue Shield of Rhode Island is statutorily required to provide reasonably priced health insurance,” Neronha said. “This premium increase is staggering, unfair and certainly does not reflect enhanced accessibility. ... It should be rejected in full regardless of the actuarial underpinnings of the request because the requested increase, especially given the cumulative increases over the past six years, cannot be the best way to achieve 'the goal of quality and affordable health care for all citizens of Rhode Island.' ”
Neronha spokesman Timothy F. Rondeau told PBN Blue Cross' proposed rate increase triggered review by the attorney general because it was over 10%.
The only other individual market rate increase was Neighborhood Health Plan's
5.6% proposal.
Blue Cross, Aetna, The Cigna Group Harvard Pilgrim Health Care Insurance Co., Harvard Pilgrim Health Care of New England, Neighborhood Health Plan of Rhode Island, UnitedHealthcare of New England and UnitedHealthcare Insurance Co., all filed small group and large group rate increases for 2025 in June as well. Those markets don't have the same 10% review trigger as the individual market.
Neronha's office will be submitting comments to OHIC on those proposed hikes in the coming weeks.
Blue Cross spokesman Rich Salit in a statement said the insurer's proposed rate hikes "reflect ongoing increases in the cost of health care driven by soaring prescription drugs costs and a widely reported nationwide surge in the utilization of medical services post-pandemic.
"In 2023, BCBSRI’s claims for medical services increased $85 million from the previous year while claims for pharmaceuticals jumped $75 million, resulting in an operating loss of $26 million. The elevated health care cost trends have continued into 2024," he added. "[Blue Cross] is committed to leading access to high-quality, affordable and equitable health care."
OHIC’s final decisions on 2025 rate changes are expected this month.
