By Lynne Terry
More than 300,000 Oregonians who buy health insurance for themselves or through a small group plan are likely to see a spike in premiums next year.
The health insurance companies that offer plans on the individual marketplace and those that offer group plans are seeking average rate increases approaching 7%, according to the state Department of Consumer and Business Services, which regulates health insurers.
In the individual market, the requested rate increases for 2023 range from 2.3% to 12.6%, with a weighted average increase of 6.7%, the department said. That means a 40-year-old with a mid-range plan could pay as much as $507 a month if the rates are approved.
In the small group market, the nine companies offering plans asked for increases from 0% to 11.6%, or as much as $446 a month for premiums, the department said.
In comparison, the cost of plans in effect this year barely budged from 2021, going up by a weighted average of about 1.5% in the individual and group markets.
The insurers said inflation, a rise in medical costs and changes in enrollment necessitated the increases, according to the department. Health care costs in the United States, which spends a larger share of its gross domestic product on health care than any other industrialized country, rose nearly 5% in 2019, nearly 10% in 2020 and nearly 7% last year. The state is trying to curb increases and has a goal of a yearly rise up to 3.4%. That ceiling is in effect for Medicaid and state-paid health insurance plans, but it is not mandatory for commercial insurers.
For the complete story, visit the Oregon Capital Chronicle website.
