State Regulator Says Blue Cross Rate Hike Is Unreasonable
CBS Los Angeles (con't)
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LOS ANGELES (AP) — The California Department of Managed Health Care says health insurance rate hikes slated to go into effect Sunday are unreasonable, but the regulator has no power to stop them.
Spokeswoman Lynne Randolph says a rate hike affecting 120,000 Anthem Blue Cross individual policyholders was reviewed and found to have higher rates than plans with similar benefit levels under the jurisdiction of the state’s other insurance regulator, the Department of Insurance.
Randolph says a review showed products filed with her department are charging policyholders 3 percent to 4 percent more.
Anthem spokeswoman Kristin Binns said Friday that the insurer plans to go ahead with the rate increase, noting the regulator had previously approved it.
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