Obama administration requests lower rate increase from health insurance company

The Obama administration has used a new tool from their healthcare overhaul to pressure a health insurer with intentions to increase its rates in Pennsylvania reduce the size of this hike. Department of Health and Human Services officials have announced that they feel that it was “unreasonable” for Everence Insurance Co. to plan a 12 percent increase in the rates for approximately 5,000 individuals employed by small businesses within the state. According to Kathleen Sebelius, the Health and Human Services Secretary, the intended rate increase was not adequately justified by…

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States prepare for health insurance rate control struggles

As it is the states that have control over the healthcare and health insurance within them, and not the federal government, it is now up to state officials to get the most out of the Obama administration’s reforms to the healthcare system to keep insurance rates under control. The federal government has been pushing insurers to hold back large increases in their rates and will, starting in September, make it necessary for insurance companies to experience greater analysis before they will be permitted to increase their rates by 10 percent…

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Kansas rejects health insurance exchanges, returns money to government

Kansas, on Tuesday, returned a large grant provided by the federal government to help the state establish a health insurance exchange program. The state has long opposed the health care reform instigated by the Obama administration and has taken steps to block the reform’s measures from affecting the insurance industry within Kansas. Several other states have railed against the reform, but Kansas is only the second to return money to the federal government. They money would have funded the majority of the insurance exchange, but now the state will have…

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States decide if large businesses can use health exchanges

According to the regulations for health care reform issued by the federal government, the authority over whether or not large companies can buy coverage through the new health exchanges will be given to the states, beginning in 2017. These state health exchanges are to play a central role in the Patient Protection and Affordable Care Act. The first wave of availability will begin in 2014, when it will become available to businesses with 100 employees or less, and individuals; particularly those who qualify for subsidies for federal health insurance premiums.…

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Health insurance exchanges may be tilted in favor of insurance companies, thanks to new rules provided by the HHS

On Monday, Kathleen Sebelius, Secretary of the Department of Health and Human Services, unveiled a sleuth of federal rules that are to be used in governing health insurance exchanges. The rules, which will be in effect regardless of whether states choose to set up and exchanges themselves or pass that burden to the federal government, have a particular leaning in favor of insurers. This has drawn sharp criticism from legislators and the public, as the exchange programs have always been lauded as being consumer friendly. Now, there are concerns that…

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