Ore. regulator approves 15.5% small business health insurance rate hike for Regence. Affects 56,984.

DCBS:

The Oregon Department of Consumer and Business Services approved a 15.5 percent average annual increase for the small employer health benefit plans that include prescription benefits instead of the 17.1 percent annual increase requested. The average annual increase for plans without prescription benefits is 14.9 percent. The approved increase is intended to cover the projected rise in health care costs and the estimated cost of implementing benefit changes due to federal healthcare reform. Benefit changes made due to federal healthcare reform include:

Coverage of child pre-existing conditions Increasing dependent coverage to age 26 Removal of Lifetime Maximum Elimination of annual dollar limits except for restricted annual dollar limits on essential benefits Increased preventive care benefits

The impact these changes have on the increased rates will vary depending on the plan design with an overall average annual increase of 3.4 percent.

Over the past year, medical claims costs for the small employer plans offered by Regence increased 12.5 percent and prescription drug costs were up 11.5 percent.

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