CID: Health Insurance Rate Filing - Anthem Health Plans, Inc. (Large Group)

Health Insurance Rate Filing - Anthem Health Plans, Inc. (Large Group)

Rate request: 16.4 percent average increase

Decision: Disapproved, limited to a 14.6% average increase on October 24, 2017

On September 29, 2017, Anthem Health Plans filed a request to increase rates 16.4 percent on its large group health insurance policies for employers with 51 or more workers.

The filing is for prospective business. The new rates are for plans that will be marketed for coverage beginning Jan. 1, 2018.

In calculating the rates, the company noted it was factoring in impact of medical inflation, known as “trend,” which takes in to account the increase in medical and pharmacy costs and the demand for those services. The company calculated a trend impact of 12.7 percent.

After an actuarial review, the Department determined the company overestimated the impact of medical inflation or “trend.” As a result, the Department disapproved the initial rate increase request on October 24, 2017 and instead limited it to an average increase of 14.6 percent.

The new rates take effect for policies issued or renewed on or after January 1, 2018.


Find the filing, brief summary and public comment section here at Health Insurance Rate Filing

Content Last Modified on 10/25/2017 11:43:40 AM