Insurance Commissioner Dave Jones announced today that Anthem Blue Cross will be reducing a proposed quarterly premium increase from 6% to 3%. This will impact approximately 18,000 Californians.
Commissioner Jones was able to review the company’s rate increase proposal based on legislation that was passed last year (SB1163 Leno) that requires insurers to justify their increases.
While this increase may seem small, these small increases have been the straws breaking the camels’ backs for many small businesses struggling to survive the depressed economy and the triple digit health insurance premium increases they’ve endured over the past decade.
And while it is good news the Commissioner Jones has facilitated this roll back of the increase, it is also important to remember that history has shown that when left to decide whether to act in the interest of consumers or to act in the best interest of their own profits, they have chosen profits each time. Californians can not afford to let insurers decide when they will raise rates and by how much.