Minnesota Officials: State Exchange Will Have Lowest Premiums

Minnesota residents purchasing individual health insurance coverage through the state's new exchange, MNsure, will see the lowest average premium rates in the country, according to the Minnesota Department of Commerce.

Mike Rothman — the state insurance commissioner — released rates for individual health plans available through the exchange opening for enrollment this fall under the Patient Protection and Affordable Care Act. Monthly premiums start as low as $90.59 for a 25-year-old nonsmoker living in the Twin Cities.

Because of the state's rate review process, premiums for plans offered through the exchange range from 4 percent to 37 percent lower than the rates insurers originally filed, according to a news release. Mr. Rothman approved rates for a total of 141 plans, with individual coverage policies accounting for 78 of those plans.

Minnesota replaces Maryland as the state with the lowest exchange premium rates so far. In July, Maryland released premiums as much as 33 percent lower than proposed by insurance companies, coverage options available through the Maryland Health Connection for as little as $93 per month for a 21-year-old nonsmoker.

Minnesota's announcement backs up a report released last week by the Kaiser Family Foundation that found insurance premiums for coverage sold through the new health insurance exchanges are generally lower than expected.

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