Feds set sights on 'unreasonable' healthcare rate increases
The Department of Health and Human Services (HHS) introduced new rules to mitigate steep healthcare rate increases — and add some more transparency to the rate-setting process. But how effective will these rules be?
Starting on Sept. 1, 2011, states with “effective” review systems in place are required to examine any health insurer’s proposed rate increase of 10% or more.
HHS will help states strengthen their review process and conduct reviews for any state without an effective review system.
In addition, insurers under review for “unreasonable” increases must provide consumers with clear information about the reasons for the increase – and post those reasons on company and government websites.
For more details on the new HHS rules, click.
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