http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2010/02/06/BUHQ1BTGN1.DTL
Before an insurance company raises it's individual policy rates does it not have to get approval from that states insurance commissioner? (I know every state might be a tad different) If that is true, why is the insurance company the bully here and not the state for allowing it?
Says in the article:
"Unlike home and automobile insurers, California insurers can legally raise rates for policyholders as much as and whenever they want. Regulators technically oversee the increases, but they have no power to control rates."
That is a shocking rate hike indeed.
I saw that, but can not help but think californias would have some consumers laws like other states that would cover this.
Here may be some of the reasons.
http://www.boston.com/business/healthcare/articles/2009/02/28/blue_cross_ceos_pay_rose_26/
CEO pay goes up 26% while company income drops 49%. Board members saw their pay jump 33%.
Rhode Island's rate just jumped 9.5 %. A good way to slow down some of these increases would be to allow folks to buy their health plans across borders. I have to buy mine in RI and can't check out competitors anywhere else. I hope that this change takes place now that the Congress must actually deliberate. (Thanks to the Mass voters for Scott Brown)