United Healthcare has been quite vocal about its losses due to the Affordable Care Act (ACA), coupled with threats to withdraw from the ACA’s Health Insurance Marketplace come 2017. However, they are not alone in making graduated demands in the face of ACA-accused financial losses, especially in the state of New York.
UnitedHealthcare, along with many other health care providers, is requesting huge pumps in premium rates to balance whatever losses they’ve reported. Crain’s New York reports that insurers part of New York’s exchange have requested an estimated 17% increase, with an estimated 12% increase in small group plans.
As the cost to treat individuals increases, so must the premiums in theory. While the New York Health Plan Association in a statement regarded these rate hikes as “necessary,” some increases are astronomical.
UnitedHealthcare requests a 45.6% rate increase effective 2017, but that pales in comparison to Crystal Run Health Plan’s request for an 89.1% increase. Aetna’s increase request for 2017 is 19.4%. In small group plan increases, Crystal Run Health Plan leads the charge at 66.6% with UnitedHealthcare at a modest 12.8%, slightly above Aetna’s 12%. The table of all requested increases, available here,here, shows many smaller agencies looking to take part in the rate hike.
As UnitedHealthcare stages its potential exit from the Marketplace, smaller health care providers are entering the competition—and hoping to find their entry profitable. One thing New Yorkers certainly will have when it comes to health care is options.