R.I. health insurers submit 2021 rate requests

PBN Staff

07/21/2020

INSURERS have submitted their 2021 health insurance rate requests to the R.I. Office of the Health Insurance Commissioner. / COURTESY R.I. OFFICE OF THE HEALTH INSURANCE COMMISSIONER

PROVIDENCE – Local health insurers have submitted requested commercial health insurance rate changes for 2021, including small group rates the R.I. Office of the Health Insurance Commissioner on Tuesday called “a significant moderation compared to last year.”

Large group rate requests ranged from a decline of 0.3% to an increase of 10.7%. Small group market rate requests ranged from an increase of 1.7% to 4.3%.

OHIC said that key factors influencing the rate requests for 2021 were “increases in the cost of health care services, including prescription drug cost trends driven by new drug treatments and price increases,” as well as the indefinite suspension of the federal health insurance tax, which the office said has moderated requested increases.

OHIC’s final decisions on 2021 rate changes are expected in August.

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Small group rate requests:

Blue Cross & Blue Shield of Rhode Island requested a 2% increase. In 2020, the insurer requested a 5.6% increase and was approved for a 4.5% increase.
Neighborhood Health Plan of Rhode Island has requested a 1.7% increase for 2021. The insurer requested and was approved for a 0.9% decrease in 2020.
UnitedHealthcare (HMO) has requested a 4.3% increase for 2021. The insurer requested a 10.6% increase in 2020 and was approved for a 7.5% increase.
UnitedHealthcare (PPO) requested a 1.5% increase for 2021. The insurer requested a 10% increase in 2020 and was approved for a 6.8% increase.
Tufts Health Plan (HMO) requested a 3.9% increase for 2021. The insurer requested and was approved for a 6.7% increase in 2020.
Tufts Health Plan (PPO) requested a 3% increase. One year prior, the insurer requested and was approved for an 11% increase.

Large group market rate requests:

BCBSRI requested a 5.2% increase for 2021. In 2020, the company proposed a 9.6% increase and was approved for an 8.1% increase.
UnitedHealthcare has requested a 9.3% increase. One year prior, the company requested a 9.4% increase and was approved for an 8.4% increase.
Tufts Health Plan HMO requested a 10.7% increase. In 2020, the company requested and was approved for a 9.6% increase.
Tufts Health Plan PPO requested a 9.6% increase. The company requested and was approved for a 10.6% increase in 2020.
Aetna requested a 0.3% decline. Previous year data was not available, as this year OHIC required all large group carriers to submit to the annual rate review process. Aetna and Cigna have historically comprised less than 1% of the large group market in Rhode Island.
Cigna requested a 0.6% increase for 2021. Previous year data was not provided.

Individual market rate requests:

BCBSRI requested a 3.7% increase. In 2020, the company requested a 0.1% decrease and was approved for a 1.5% decrease.
NHPRI has requested a 5.8% increase. In 2020 the company requested a 1.7% increase and was approved for a 0.2% increase.