The increase in premiums will be felt by those who purchase insurance through the Connector’s website or directly through their carrier. Anyone who falls below 300% of her federal poverty level ($40,770 for her for an individual and $83,250 for him for a family of four) provides subsidized health insurance to her 140,000 people in the state. Qualify for her ConnectorCare offering. For ConnectorCare members, the lowest-cost plan he increases to under $3/month in 2023.
Some low-income residents are eligible for MassHealth, which provides health insurance to more than 2 million people at a fraction of the cost.
Insurance premium hike, approved by insurance bureau in August, reviewed It ranges from 5.5% for Tufts Health Plan – Direct (the Connector’s largest member) to 11.9% for Health New England, according to the Health Connector Board on Sept. 8. Insurance companies can raise premiums on your 25th birthday each year, so the older you are, the higher the rate of increase.
As an example, the Silver plan, often referred to as the middle-tier health insurance plan, will go from $449.09 to $674.73 per month in 2023, with open enrollment beginning in November.
These costs are just a baseline, and many plans have thousands of dollars in deductibles that members must pay before health coverage begins, as well as co-payments and other share of costs.
The recent increase in insurance premiums is in addition to a series of price increases in recent years. A report published last year by the Health Connector found that between 2015 and 2021, Connector’s lowest-cost insurance premium increased between 31% and 74%, depending on the specific region of the state. Counties including Nantucket and Cape Cod saw the fastest increases. The smallest increase occurred in Region 2, which includes Essex, Middlesex and Worcester counties.
The Blue Cross of Massachusetts Blue Shield says that Massachusetts residents say their biggest health concern is not the COVID-19 pandemic or the quality of care they receive, but rather the cost of state health care.
Additionally, the Centers for Health Information and Analysis reports that 41% of Massachusetts residents surveyed between July and December 2021 said they were having trouble paying their medical bills. The challenges were even more pronounced among Black and Hispanic families, with 50.8% and 54.9% reporting affordability issues, respectively.
While many people obtain health insurance through their employer, some employees, part-time workers, and the self-employed purchase insurance for themselves and their families on Connector. Some people buy plans directly through their insurance company.
Some participants can take advantage of tax credits to offset higher tax rates. Approximately 34,000 people who currently purchase health insurance through Connector are eligible for credit.
Credits are based on factors such as income, residence and age. For example, her 60-year-old Boston resident with an annual income of $55,000 could receive $302 a month to offset health insurance premiums. If the same person lived in Edgartown, she would receive $707 a month. The federal government’s American Rescue Plan provided additional tax credits in 2021 and 2022. These enhanced tax credits are valid for an additional three years.
While stronger tax credits have made health insurance more affordable, Fligand said deductibles and other cost-sharing costs have made health insurance out of reach for many. I’m here.
Ann Marie McGovern-Theriault said she finally switched to a connector plan with a higher deductible last year because her previous plan was too expensive. But a single visit to a specialist for skin cancer on her face and tumors behind her eyes cost her $175.
“They’re talking about my utility bills and electricity bills. I have to say, and I’m embarrassed, at the end of the summer I had to charge my groceries [to my credit card],” she said. “There were no groceries in the refrigerator.
When asked about the increase, Massachusetts’ two largest insurers, Blue Cross Blue Shield and Point 32 Health, said much of the increase was due to higher provider reimbursement and pharmacy costs. .
“Part of request for increase [from providers] Michael Guerriere, Chief Actuary, Blue Cross Blue Shield of Massachusetts, said: “It reflects a compromise, we’ve set ourselves apart, but… [the] It’s the inflationary and post-pandemic environment we’re in. ”
Matt Day, Senior Advisor for Provider Strategy for Massachusetts’ Blue Cross Blue Shield, acknowledges that premium increases are impacting planning inside and outside the connector, with insurers, providers and government working together to resolve them. He said that we need to consider measures.
“We need to come together in this affordability crisis as we have done in security reform, payment reform,” he said.
Jessica Bartlett can be reached at jessica.bartlett@globe.com. follow her on her twitter @ByJessBartlett.
