Thanks to Affordable Care Act, Good News for 2015 Premiums
A new report from the Kaiser Family Foundation finds that in seven major cities that have released data on 2015 premiums, the price of the benchmark Obamacare plan…is falling.Yes, falling.
"Falling" is not a word that people associate with health-insurance premiums. They tend to rise as regularly as the morning sun…But this data…is the best data we have? — ?and it shows that Obamacare is doing a better job holding down costs than anyone seriously predicted, including Kaiser's researchers.
Obamacare's premiums aren't its only victory. The law…beat expectations and enrolled 8 million people in its insurance exchanges. In part for that reason, more insurers are joining Obamacare's exchanges, which will increase competition and put even more downward pressure on prices.
See what the media has had to say about the good news for 2015 premiums in the Marketplaces across the country – including both states where average premiums will actually be lower in 2015 as well as states where the average rate of increase in 2015 premiums is much lower than before the ACA.
- Arkansas:
‘Obamacare premiums expected to drop 2% in 2015' – The Arkansas Times [8/26/14]Health insurance premiums for consumers buying coverage on their own was growing 10 percent or more per year before Obamacare. It's become almost axiomatic in health care that insurance premiums will go up every year, so a potential decline is huge news.
- Florida:
‘Obamacare rates going down in 82% of Fla counties for 2nd lowest silver plan' – Kaiser Health News (tweet) [8/25/14]FL Insurance regulator confirms HHS contention that in 2015 avg Obamacare rates going down in 82% of Fla counties for 2nd lowest silver plan…
- Connecticut:
‘An average premium decrease of 0.1% for Anthem customers" – The CT Mirror [8/15/14]Anthem, the state's largest insurer, initially requested approval to raise rates by an average of 12.5 percent. But the insurance department rejected the proposal and asked the company to resubmit its plans … The result: An average premium decrease of 0.1 percent for Anthem customers."
- Washington:
‘Overall rate increase…down to 1.9 percent"– The Seattle Times [8/27/14]On a weighted average, the actuarial review squeezed an overall rate increase of 8.6 percent in the insurers' original proposals down to 1.9 percent.
- Indiana:
‘Indiana health insurance marketplace set to offer many more plans' – The Northwest Times [8/28/14]Hoosiers purchasing health insurance on Indiana's federally run marketplace next year will select from at least 975 plans offered by nine companies, up from four companies and 278 plans this year. Tina Korty, attorney for the Indiana Department of Insurance, ….said 2015 marketplace health insurance premiums will increase 5 percent on average. That's a far cry from the annual double-digit premium increases Hoosiers paid before the Affordable Care Act was in effect
- New Mexico:
‘many New Mexicans will pay less for health insurance next year' – Albuquerque Business First [9/3/14]…Individual health insurance premiums in New Mexico will drop by an average of 1 to 2 percent in 2015 for those who buy on the state's health insurance exchange, New Mexico Superintendent of Insurance John Franchini said Wednesday.
- California:
‘…California's modest premium boost is viewed as good news..' – Kaiser Health News [8/1/14]After years of double-digit rate hikes in health insurance premiums, California will see average increases of 4.2 percent in 2015 for people who purchase insurance through the Covered California exchange, the state's Obamacare marketplace.
It's good news for consumers…
- New York:
‘[premiums] should provide a relief for consumers' – Capital New York [9/4/14]…premiums in New York's individual exchange would increase an average of 5.7 percent.
That…should provide a relief for consumers, many of whom were facing near 20-percent increases.
Since 2011, as a result of the Affordable Care Act, Americans have saved a total of $9 billon on their premiums, including $4.1 billion last year. Instead of planning their 53rd vote to repeal ACA, Republicans should drop their overzealous threats and let the nation's health care law work its will for the American people.