CID: Health Insurance Rate Filing - CIGNA Healthcare Of Connecticut (Large Group HMO)

Health Insurance Rate Filing - CIGNA Healthcare Of Connecticut (Large Group HMO)



Rate request: Average decrease of 4.5 percent

Decision: Approved January 25, 2017

On December 13, 2016, CIGNA Healthcare of Connecticut filed a requested average rate decrease of 4.5 percent on large employer group HMO policies for employers with 51 or more workers. There are four policies currently in force.

In its filing, the company cited projected increases in medical and pharmacy costs and increased demand for medical services in a factor known as “trend.” The company expects that “trend” in 2016 will have about 8.5 percent impact on what it expects to pay in claims. However, the CIGNA noted the requested average decrease in rates is due to better experience.

CIGNA projected that the new rates would meet the federal medical loss ratio threshold of 85 percent, meaning it expects to spend at least 85 cents of every premium dollar on medical services.

After an actuarial review, the Department determined that the company’s pricing calculations were appropriate for the benefits offered. As a result, the Department approved the average decrease of 4.5 percent on January 25, 2017.

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


Content Last Modified on 1/25/2017 11:04:02 AM