The New York State Department of Financial Services is considering a 6-17% rate hike for insurance companies.
Will increases to health insurance premiums be approved? (video)
Your increase depends on your plan
Here’s an example. According to the DFS website, provider Excellus has an application to increase it’s over year rate-change by 14%, which it says will effect more than 26,000 members.
Eric Linzer is well versed on the topic of health insurance.
“I think it’s been a busy time for everyone in healthcare,” Linzer said.
He’s president and CEO of the New York Health Plan Association, a non-profit trade group that represents 29 health plans, which provides coverage to more than 8-million New Yorkers.
“Premiums are directly linked to the underlying cost of medical services and the cost of healthcare is going up,” Linzer said.
Just like gasoline, rent, and groceries, Linzer adds.
Insurance plans already pricey- What’s making them cost more?
Linzer shares his perspective on why we could soon be paying more.
“The impact of Covid and the ongoing challenges of the pandemic, this is higher costs as a result of ongoing testing treatment and vaccinations,” Linzer explained. “And then there’s the annual trend in increase from those services that ultimately benefit patients. High prices at doctors offices, hospitals and pharmaceutical manufacturers are charging for their services so as those prices go up, those directly impact the cost or premiums.”
A decision is expected by early August. If approved, the increases will go into effect January 1, 2023.
Rebecca is a veteran multimedia journalist serving as one of our core reporters in the Finger Lakes region. She is responsible for telling stories that matter to every day Upstate New Yorkers. Have a question or lead? Send it to [email protected].