Anthem Blue Cross withdraws planned CA rate hike

[Newsjock]

Source: Associated Press

Anthem Blue Cross on Thursday withdrew plans to raise health insurance rates for California customers by as much as 39 percent, citing errors in its earlier calculations.

The Woodland Hills-based company said it will revise the rate requests it had filed with the California Department of Insurance and the Department of Managed Health Care as soon as possible, possibly in May.

Anthem had notified many policyholders in January that the rate increases would go into effect March 1, but subsequently announced a delay amid public outcry.

"By refiling our individual rate requests, we will also utilize updated and real-time medical utilization information, as well as address inadvertent miscalculations related to the way in which we estimated our future medical costs in our initial filings," the company said in a press release.

Read more: http://www.sfgate.com/cgi-bin/article.cgi?f=/n/a/2010/04/29/financial/f165756D92.DTL&tsp=1

[PSPS]

1. "errors in its earlier calculations"

These weren't "errors in calculations." At least not arithmetic errors. Maybe "errors in political calculations."

What this really shows is that these rates are set arbitrarily. They'll charge just as much as they think they can get away with because, well, because their goal is to make as much profit as possible, not provide (or even pay for) health care.

[alstephenson]

2. Spot on.

[Tempest]

6. They tried to justify the increase to a legislative committee

There was no error.

[MindandSoul]

3. It's kind of low key, but haven't you noticed a difference in those

big business health care insurance companies since the bill became law???

It sounds like the bill is working. . . slowly, but surely!

[tqla]

4. Check it out, I was one of the guys the got the rate hike!

They sent me a letter stating that my rate will go up $70 something bucks per month! So I shopped around and went to a competitor. I wonder how many others did too. Here's the thing, people with preexisting conditions had to stay with them because another insurer may not have covered it. Thanks to Obama preexisting conditions won't be the end-all for moving from one insurer to another in the future.

[Auggie]

5. Ours went up 60 PERCENT...

a few months ago. 60 FUCKING PERCENT.

Welcome to D.U., tqla

:hi: