State’s Insurance Marketplace Projected To Drop Two Percent
by October 3, 2014 12:37 pm 117 views
Rates for consumers on the Arkansas Health Insurance Marketplace should be two percent lower in 2015 than they were in 2014, the Arkansas Insurance Department officially announced Friday.
Last month, Gov. Beebe and insurance department officials disclosed they expected the rates to fall by two percent on average.
The plans still must be finalized by the U.S. Department of Health and Human Services, which the department expects to occur on or before Nov. 3 with few if any changes, a release from the agency said. Rates have been reviewed by insurers, the department, and the Dallas-based actuarial firm Lewis & Ellis Inc.
The Marketplace was created by the Affordable Care Act, otherwise known as Obamacare. Participants in the Marketplace are eligible for government subsidies based on income.
The press release referred to David Dillon, vice president and principal at Lewis & Ellis, saying health insurance rates have been increasing 8-10 percent a year. “An average reduction in premiums is a huge success for the state of Arkansas,” the release quoted him saying.
The number of carriers in Arkansas is increasing from four in 2014 to five in 2015, all of which will offer plans statewide. Those are Ambetter of Arkansas, Arkansas Blue Cross Blue Shield, Blue Cross Blue Shield Multi-State, QC Life and Health, and QualChoice Health Insurance.
According to the release, the Marketplace offers 19,000 possible rate plans based on a variety of factors, including age, geographical area, type of plan, and smoking status.