- 3,384
Depends on whether the group is age-rated or composite rated. If composite, age is irrelevant, only zip - group in CA is sex neutral.
Dave
group for insurance agent
- Thread starter johnrocks
- Start date
Depends on whether the group is age-rated or composite rated. If composite, age is irrelevant, only zip - group in CA is sex neutral.
Dave
- 14,809
Let me cover my butt by first saying I don't write group. An extremely good agent friend of mine writes nothing but group so I only know bits of pieces of the MD group market from him. What what I gather there's no health questions allowed and the rate is dictated by average age and SIC code. Over 35 is horrible rates, under 35 is good rates.
- 7,790
In the Philadelphia PA and surrounding counties, Independence Blue Cross does allow groups of one through certain "asociations." They are standard HMO and PPO plans but the choice is limited (except for certain occupational groups). It is tiered for premiums, but not age and sex factored. Also, it is not underwritten. Proof of a legitimate business must be furnished, i.e., copy of Schedule C, business checking account, etc. The same associations also allow groups of 2 or more to join. Under IRS regulations, a husband and wife may form a "family partnership" which is considered a group of two.
- 7,790
Blue Cross used to community rate, but that changed about 2 years ago. I believe that some groups are pushing for the return of community rates.
So . . . you are saying the composite rate is not developed by averaging the age of the individuals in the group? (More specifically, age-weighted).
If so, then, all other things being equal, a group of 30 year olds would have the same composite rate as a group of 50 year olds.
I find that hard to believe.
If so, then, all other things being equal, a group of 30 year olds would have the same composite rate as a group of 50 year olds.
I find that hard to believe.
Community rating varies by state (and in some cases, by carrier). There are a few states that community rate individual coverage. Most notably, NY, ME, NH & VT. There may be others, but these are some I am aware of.
Some states may also mandate community rating for small group. In many states the small group laws (usually affecting groups of up to 50 lives) is tightly regulated by the state.
Here in GA a carrier may ask questions and rate up accordingly. On average, the most a carrier can increase above standard rates is 67% with tiers in between standard & max rate up.
Renewals are also tempered.
Standard rates, whether composite or age-banded, reflect gender & age. There is usually an SIC load applied for certain high risk industries once the basic rating is done. From there the plans are rated to reflect risk accepted by the carrier with high deductible plans generating some discount (although not as much as in individual health insurance) while low deductible, copay plans generate the highest rates.
Some states may also mandate community rating for small group. In many states the small group laws (usually affecting groups of up to 50 lives) is tightly regulated by the state.
Here in GA a carrier may ask questions and rate up accordingly. On average, the most a carrier can increase above standard rates is 67% with tiers in between standard & max rate up.
Renewals are also tempered.
Standard rates, whether composite or age-banded, reflect gender & age. There is usually an SIC load applied for certain high risk industries once the basic rating is done. From there the plans are rated to reflect risk accepted by the carrier with high deductible plans generating some discount (although not as much as in individual health insurance) while low deductible, copay plans generate the highest rates.
- 11,280
Can we form a " Senior Forums " group insurance?
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