Individual Medical Plans – What’s Coming in 2017

It's only barely summer, but get ready for winter changes.

​The deadline for carriers to get their 2017 plans and rates to the Office of the Insurance Commissioner has come and gone.  The overall view of next year is starting to take shape.  Expect to see a changing landscape.
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154 individual plans are being proposed for 2017 (this year we stand at about 130 plans).  But the biggest announcements?

• The average increase sits at 13.5%.  In comparison, 2015 rates inched up 1.9% while 2016 rates increased by 4.2%. 
• Premera Blue Cross and Lifewise will only offer plans inside the Exchange.    
• Only four carriers are expected to offer coverage outside of the Exchange – Asuris, Regence, Group Health Cooperative, and Group Health Options.  None of them offer coverage state-wide.
• United Healthcare will no longer offer individual coverage in Washington (this was announced earlier this year, but is now confirmed with no filing of plans).
• Premera and Lifewise will be pulling out of counties – mostly on the Peninsula, as well as the southwest and the middle of the state.  

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Premera

Lifewise

​The Office of the Insurance Commissioner (OIC) noted that typically final approved rates are lower than carriers originally request.  But in past years we have only seen the needle move by a percentage point or so.  How far will they be able to squeeze the carriers’ requested increases?  Remember, carriers don’t have to continue offering coverage.  In 2016 we lost Moda as an option, and so far we are losing United Healthcare as an option in 2017. 

Negotiations will start to take place between the OIC and the carriers.  While we won’t have the final plan and rate approvals until September or so, it will be interesting to watch the process.   ​