Chatterton Insurance Urges Rhode Island Residents to Review Their Health Insurance Policies Due to Recent Rate Increases

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Blue Cross Blue Shield RI received approval for a rate increase and the local insurance agents want residents to be prepared.

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Whether an individual resident or a business applying for group benefits, the Rhode Island insurance agents at Chatterton Insurance urge residents to be aware of the changes and be proactive about health insurance.

Residents in Rhode Island may notice something different about their health insurance rates this year: an increase. The state’s largest health insurance provider, Blue Cross Blue Shield of Rhode Island, has been approved for increases in their rates for both small and large group employers, beginning with April renewals.

The reasoning behind the increase has to do with the actual cost of healthcare in the United States. In 2012, residents required their insurance carriers to pay out a higher amount compared to 2012, according to Monica Neronha, the VP at Blue Cross. Whether an individual resident or a business applying for group benefits, the Rhode Island insurance agents at Chatterton Insurance urge residents to be aware of the changes and be proactive about health insurance.

The changes:

  •     For small business groups, the OHIC has approved a 3.67% increase – lower than what was originally requested, so there is a potential for a second rate increase in later months.
  •     For large groups, a 7.87% increase is expected – just below the 9% request from BCBS.
  •     BCBS must meet several conditions, one of which being a new plan option. By May 1, 2014, BCBSRI must offer at least one new and affordable plan – it should be priced at least 15% lower than a comparable plan.
  •     BCBS must meet with OHIC, quarterly, to review compliance and their progress financially.

Insurance companies are required to have enough funds in reserves to cover claims for extraordinary or catastrophic events (for example, a natural disaster), and currently, BCBS has seen a dip in reserves. The anticipation is that a rate increase will allow them to up their reserves and be better able to serve residents.

In Rhode Island, health insurance is not mandatory yet. However, Chatterton Insurance strongly urges residents to consider their options. The cost of health care can be high and a comprehensive and affordable solution lies in adequate health insurance.

Health insurance can cover:

  •     Doctor visits
  •     Hospital stays
  •     Prescriptions
  •     Outpatient needs
  •     Surgical procedures
  •     Disability

For employers, group benefits can be offered for health, life, dental and vision. At Chatterton Insurance, the goal has always been to help residents find affordable and comprehensive coverage. Rhode Island individuals and business owners are encouraged to call or stop by with any questions or concerns. Helping Rhode Islanders is a passion at Chatterton Insurance, and all questions are happily welcome.

About Chatterton Insurance:

The Pawtucket, Rhode Island based agency serves all of RI and also provides insurance solutions to Massachusetts, Connecticut, and surrounding areas. Their products are affordable for individuals, families, and businesses of all sizes. When working with Chatterton Insurance, each customer receives unmatched service from knowledgeable agents. They always strive to put the customers first. As a new customer looking for affordable policy options, or an existing customer that needs a policy change, the agents here are always available to help. Call them at 888-721-1079 or simply fill out any quote form for more information and a free consultation.

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Ellayna Ungureanu
Astonish
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