Thursday, February 18, 2010

HHS warns of double-digit spike in health premiums


I think I'm seeing a Tetris like (not 3 dimensional chess) pattern here. Did wonder why all of a sudden the Senate was getting back on the public option band wagon. Apparently they had this report in their back pocket.

WASHINGTON — Eye-popping health insurance premium increases of up to 39 percent are not an exception but a worrisome sign of the times, the Obama administration said in a report Thursday.

Proposed premium increases by Anthem Blue Cross for Californians purchasing their own coverage set off a wave of criticism and forced the company last week to announce a postponement. Now, the Health and Human Services Department says similar pressure on premiums is being felt in at least six other states.

(snip)

With his drive for health care overhaul bogged down, President Barack Obama has seized on the Anthem premium increases as Exhibit A to make his case for sweeping change before a bipartisan White House summit next week. California officials say 700,000 households face increases averaging 25 percent overall and as high as 39 percent for some.

The HHS report found that those numbers are in line with increases sought by insurers in other states - at a time of robust profit growth for the companies and a lack of competition in most states.

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