CID: Health Insurance Rate Filing - ConnectiCare Inc. (Large Group HMO)

Health Insurance Rate Filing - ConnectiCare Inc. (Large Group HMO)

Rate request: 4.8 percent increase

Decision: Disapproved, limited 3.2% average increase September 29, 2015

On August 21, 2015, ConnectiCare Inc. filed a request to raise premium rates an average of 4.8 percent for large employer group medical policies for employers with 51 or more workers.

The company said the increase was needed to account for the impact of increasing medical and pharmacy costs and an increased demand for medical services, factors known as “trend.” The company projected the “trend” impact at 9 percent on medical and 13.5 percent on pharmacy benefits.

After an actuarial review, the Department determined the company’s calculation of 9 percent for medical trend was excessive that a more appropriate trend impact is 7.5 percent.

As a result, the Department disapproved the rate increase request and instead limited it to an average increase of 3.2 percent on September 29, 2015.

The new rates take affect Oct 1. 2015.


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

Content Last Modified on 10/5/2015 12:51:53 PM