Rate request: Initial Filing
Decision: Review complete on August 5, 2013
On June 19, 2013, United Healthcare Insurance Co. made an initial rate filing for small employer group policies (between 1-50 employees) that it intends to market through Access Health CT, the state’s health insurance marketplace, beginning January 1, 2014. The rate filing also is for plans that United Healthcare intends to market outside Access Health CT.
United Healthcare noted that because it does not currently market small employer plans in Connecticut its claims costs are fully based on existing data from the experience of its subsidiaries, Oxford Health Insurance and Oxford Health Plans, which do market small group plans in Connecticut.
The company explained the new plans marketed through Access Health CT will meet all the Essential Health Benefits criteria mandated under the federal health care reform law. United Healthcare also said the rates take into account other mandates related to the federal law such as guaranteed issue and new ratings rules, minimum actuarial value of 60 percent and taxes and fees.
United Healthcare said it intends to comply with all current laws and guidance.
The Department does not have statutory authority to approve or deny rates for small group indemnity business and conducted an actuarial review in accordance with federal health care reform guidelines and Connecticut Insurance Department Bulletin HC-81-2. As a result of that review, the company made the following revisions and reductions:
- Reduced the annual trend from 10.1% to 9.1%
- Removed the risk adjustment in the original filing
The Department completed its actuarial review on August 5, 2013.
The monthly base rate for each standard metal plan in the exchange, prior to making adjustments for age and geographic area, is in the table below:
These amounts are also prior to any federal premium subsidy, if applicable.