Rules require health insurance companies to justify rate increases

Rules require health insurance companies to justify rate increases -

The Department of Health and Human Services (HHS) introduced new rules for health insurance companies that propose rate increases of 10 percent or more in 2011. the new rules are intended to protect consumers and prevent insurers from asking for increases "unreasonable" to rate.

reform

health care established the basic rules that affect individual health insurance and plans for small businesses - not large group plans.

The federal doesn government "t have the power to block or reject rate increases, but the rules will require justify" unreasonable "reports increases Kaiser Health News . But the federal government gave $ 46 million in the awarding of grants to states to improve their rate review process

An HHS spokesperson said. "the law does not give us the power disapprove the rates. we do not have that authority. Regulation leaves intact state laws. It does not interfere with the state law. in some states, the rate can not be implemented unless the state approves positively increasing rates. "

the process of reviewing the state now vary widely and in the future if the federal government believes that the state isn" t doing enough to revise the rates, then they will intervene.

rules require insurers have higher rate increases to 10 percent to post on their website with justifications. If rates are considered "unreasonable", insurers will then include this information on their website.

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