Filed Under:Your Practice, Regulatory

Kaiser: Let Sun Shine on Rate Filings

Sabrina Corlette of Georgetown University and Janet Lundy of the Henry J. Kaiser Family Foundation, Menlo Park, Calif., discuss state health rate review disclosure practices in a report on variations in state review methods.

"Most of the states we interviewed have made little or no effort to make rate filings transparent or facilitate consumer access to information about rate increases," the researchers say. "Some states, like Idaho and Alaska, explicitly label the information in a rate filing 'proprietary' and reveal none of the justifying data to the public. More commonly, states allow for public access to rate filings, but only after they have been approved."

When consumers can see rate filing documents, they usually have to visit the department offices to see the documents, the researchers say.

"We found that much of the actual rate review process - during which regulators might question assumptions, state objections, and ask for reductions in rates - is conducted as an informal dialogue between [insurance] Department staff and insurance carriers to which policyholders have no access," the researchers say.

Wisconsin does let consumers see rating filing information, and it wants to use federal grant dollars to improve the rate filing data access part of its website, the researchers say.

A few states, including Colorado, Maine and Wisconsin, let policyholders ask for public hearings on rating filings, the researchers say.

"There is evidence that the simple ability to hold a hearing is enough to give state regulators leverage to negotiate lower rates," the researchers say.

Pennsylvania regulators have reported that insurers sometimes ask for increases of 30% to 40%, then reduce the requests significantly when told the requests might be the subject of hearings, the researchers say.

- Allison Bell

Featured Video

Most Recent Videos

Behind the scenes with Vicki Gunvalson [VIDEO]

Provided by LIFEHEALTHPRO

In this exclusive interview, Vicki Gunvalson shares how she built a $15 million a year annuity business by planning for...

Regulator: Market may need to reinvent LTCI

Provided by LIFEHEALTHPRO

Cioppa says Maine's governor wants to spur the creation of better products.

Dementia: It's more than Alzheimer's

Provided by LIFEHEALTHPRO

An association calls for policymakers to remember lesser-known neurodegenerative conditions.

Protesters Disrupt WellPoint Annual Meeting

Provided by LIFEHEALTHPRO

Hecklers call for more disclosures of information about political contributions.

Related resources

More Resources

Comments

Power your business with up-to-the-minute insurance news, analysis, and best practices from LifeHealthPro Daily eNewsletter – FREE.

Power your business with LifeHealthPro Daily eNewsletter – FREE.

Enter a valid email address.
Close
Nichole Morford

Nichole Morford
Managing Editor

Thank you for subscribing to LifeHealthPro Daily!

Check Out More eNewsletters Now! Close

Advertisement. Closing in 15 seconds.