07.19.2013

So much for the “affordable” part of the Affordable Care Act. At least in some states, like Indiana, where along with Texas and Ohio, I have many clients. As October 1st winds nearer, the date when the Federal and State Health Insurance Exchanges must unveil the new health care compliant policies for 2014 that individuals, families and small groups must choose from – it is evident costs will skyrocket. According to the Indiana Department of Insurance rates there will increase 72%! (See Feature Article below.) In Texas–which is one of 34 states which elected not to establish a state exchange–the Federal Exchange will be the (default) exchange from which to elect coverage. It’s premiums are yet to be revealed but are predicted to be at least 30% higher than for those who currently have health insurance in Texas.

In conclusion, if you do not qualify for a federal subsidy for at least a portion of your coverage–prepare yourself for a significant rate increase. What does it take to qualify for a subsidy? Your annual reportable income must be less than 400% of the Federal Poverty Limit. *Refer to the chart below that limit, increasing increments and the accompanying subsidy.

Admin. – Kenton Henry

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FEATURED ARTICLE:

In Indiana, Individual Health Insurance to Cost 72% More Due to Obamacare

8:15 AM, Jul 19, 2013 • By DANIEL HALPER

Obamacare will be costly for Hoosiers who already have health insurance, according to a report from Indystar.com.

“Insurance rates in Indiana will increase 72 percent for those with individual plans and 8 percent for small group plans under President Barack Obama’s healthcare overhaul, according to the state’s insurance department,” reads the report.

“The spike in costs is due primarily to new mandates under the law, which requires insurers to cover those with pre-existing conditions and to offer a minimum level of benefits, said Logan Harrison, chief deputy commissioner with the Indiana Department of Insurance under Republican Gov. Mike Pence. New taxes and fees under the law also contributed, Harrison said.

The Indiana governor tells the paper: “This new data regrettably confirms the negative impact of the Affordable Care Act on the insurance market in Indiana. … The Affordable Care Act requires many Hoosiers to purchase more comprehensive and more expensive health insurance than they may want or need. These rates call into question just how affordable health insurance will really be for many Hoosiers.”

Costs for individual plans is expected to increase from an average of $255 per member per month in 2012 to $570 in 2014, when the most aspects of the law go into effect.

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*2013 Federal Poverty Guidelines

48 Contiguous States and DC

Note: The 100% column shows the federal poverty level for each family size, and the percentage columns that follow represent income levels that are commonly used as guidelines for health programs.

Alaska

Hawaii

Source: Calculations by Families USA based on data from the U.S. Department of Health and Human Services

Courtesy of All Med & Life Quote

http://allplanhealthinsurance.com

http://allplaninsurance.com