Montana health insurance rates climb upward
Health insurance rates will continue their upward trend for yet another year in Montana. State officials released 2018 health insurance rates Tuesday, which included average rate increases of between 4 and 22.3 percent for the individual market.
“For the past several years since Obamacare was put into place, we’ve seen double digit rate increases across the board,” said Kyle Schmauch of the Montana State Auditor’s Office, which is tasked with regulating insurance.
This year, Blue Cross Blue Shield was the sole provider to post a two-digit jump, with an average 22.3 percent increase. Rates for the Montana Health Co-op increased by an average of 4 percent, while PacificSource rose 7.4 percent in the individual market.
Consumers purchase health insurance from the individual market when they do not have coverage from an employer or through a government program.
The rate changes only will affect those 53,000 Montanans who buy their policy individually and will not impact employer insurance or any government offerings such as Medicare or Medicaid. Blue Cross Blue Shield has more than 31,000 policyholders, while the co-op covers about 20,000 and PacificSource another 12,000.
Monthly premiums for Flathead Valley residents with Blue Cross Blue Shield start at $262 for an individual up to 14 years of age, and reach as high as $1,608 for a 64- to 120-year-old on the top-end plan. By comparison, costs of those same plans in 2017 was $194 and $1,135, respectively.
Monthly plans with PacificSource range from $224 to $1,446.
But a move by President Trump Thursday could result in possible changes to the recently released rates. Trump signed an executive order that could pave the way for big changes to the Affordable Care Act. The president said the order will bring affordable insurance to more people and expand options, along with permitting small groups to join together and purchase insurance across state lines.
Some forsee a modest impact that could be beneficial for those who don’t benefit from financial assistance through Obamacare. Others are concerned that the order could reduce protections for individuals in bad health or the elderly by forcing federal agencies to provide lower-cost plans with fewer benefits. Experts say changes won’t roll out immediately — it could take months to translate the order into actual policy.
“We just encourage people to shop around and try to find the best option for them and their families,” Schmauch said. “That’s why we put out these rate sheets today.”
The open enrollment period for 2018 health insurance plans begins Nov. 1 and ends Dec. 15. For more information, visit www.healthcare.gov.
Reporter Mackenzie Reiss may be reached at 758-4433 or mreiss@dailyinterlake.com. The Associated Press contributed to this report.