Posts Tagged ‘CareSource’

5 New Entrants to Indiana’s Health Insurance Exchange

Sunday, July 20th, 2014

Residents of Indiana are getting some new health insurance choices in the state’s health insurance exchange.  According to The Courier-Journal’s “Indiana health insurance market to see changes,” Maureen Groppe says that five additional companies will be selling plans in the state exchange this year.  There are currently four companies offering plan choices in Indiana.  Out of the 16 states that make their information public, Indiana has the most new entrants.  There will be some rate changes by the four companies who are already selling in Indiana’s exchange.  The highest change is a 96% increase and the lowest change is an 11% decrease in plan costs.  More choices mean that Indiana residents who already have health plans could get rates that are significantly lower than their current plan rates.

More than 130,000 Indiana residents purchase health insurance outside of an employer program or Medicare.  It’s possible that number could double next year as more uninsured Americans seek health insurance plans through the government exchanges and individual companies to comply with the individual mandate.  CareSource is one of the new companies to Indiana’s exchange and plans to offer very low, competitive rates.  Their rates are so low in fact, that the state regulators questioned the insurance company’s filing.  Premium prices will not be set in stone until just before the November 15 open enrollment period.  But the state filings help the market get a feel for what is going to happen in the fall.

Overall health care costs are increasing by 5.4%.  Insurance companies have to justify increases in premiums that are much more than the increasing cost for health care.  Some insurance companies face a greater amount of claims than others.  Indiana is changing the way that their disabled residents qualify for Medicaid, so close to 7,000 people with higher medical expenses will be entering the individual health insurance market next year.  Since these Affordable Care Act rules are fairly new, insurance companies are still trying to maneuver this health insurance market where they cannot deny coverage to people with preexisting conditions.  Companies are seeking rate increases and also lowering premium costs based on regions in the state and the tier level of different plans.  It will take a few years for health insurance companies to determine exactly what premium changes need to be made based on what happens each year with costs and new members.