Non-profit health insurer Blue Shield of California hopes to raise rate for some individual policy holders by an average of 12 percent, with some requested increases topping out at 20 percent, according to a Los Angeles Times report.
State regulators are reviewing the proposal to raise rates for 300,000 customers effective in March, but state agencies do not have authority to prevent rate changes according to the report.
Blue Shield has defended its plan to raise rates saying it expects to lose money in the individual insurance market from higher costs and market volatility brought on by a flood of new individual policy holders heeding healthcare reform's mandate that all eligible people must acquire health insurance.
The report points out Blue Shield of California holds surpluses nearly three times larger than required by the Blue Cross and Blue Shield Assn.
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State regulators are reviewing the proposal to raise rates for 300,000 customers effective in March, but state agencies do not have authority to prevent rate changes according to the report.
Blue Shield has defended its plan to raise rates saying it expects to lose money in the individual insurance market from higher costs and market volatility brought on by a flood of new individual policy holders heeding healthcare reform's mandate that all eligible people must acquire health insurance.
The report points out Blue Shield of California holds surpluses nearly three times larger than required by the Blue Cross and Blue Shield Assn.
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