Massachesetts: Half the Carriers Stop Taking Applications

Crabcake Johnny

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Some finding it hard to find health insurance in Mass.

"What happened Tuesday and Wednesday was that coverage from several major insurers became no longer available for individuals and small groups through the state health website, MaHealthConnector.org . It is disputed between state officials and health insurers whether insurers began boycotting the site or whether state officials required them to remove themselves from it while the legal fight over 2010 health insurance rates plays out."

In any case, major providers like HarvardPilgrim, Tufts, Fallon, and Neighborhood Health were no longer offering coverage through the "Connector" site Wednesday.


And there you have it. State denies rate increase. Half the carriers respond by not taking new applications. Anyone who tries to renew or obtain new coverage will find that half of the state's carriers are not accepting new applications.

...and it begins.

Actually, for my commentary, I'll label this as "failed" - as in past tense. It has failed when half the carriers stop issuing coverage and the state is ready to sue to force them to continue to offer coverage.

At this point it only goes downhill....and fast. This lasted almost 4 years before we reached this point.
 
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I haven't looked at the site, but when someone applies through "The Connector," is there a field to put in the broker's ID number or name?

Or...Are there any Norvax/.Insurint type sites that provide a direct link to the Connector?
 
They can apply without an agent - and an update. The only carrier available as of today in MA for new plans is CeltiCare. All other carriers are not allowed to sell in the exchange until they change their rates to reflect the rate increase denial:

https://www.mahealthconnector.org/portal/site/connector/menuitem.55b6e23ac6627f40dbef6f47d7468a0c/


The Massachusetts Division of Insurance recently disapproved many of the premium rates proposed by insurers. The decision does not apply to CeltiCare.

The ruling pertains to plans effective April 1, 2010 and later. It also applies to all distribution channels, including the Health Connector.

With the exception of CeltiCare, insurers must withdraw their Commonwealth Choice plans until they recalculate their rates to comply with the ruling. CeltiCare offers coverage in the Greater Boston area.

Insurers are required by law to issue and renew policies for small employer groups and individuals and families. The Division of Insurance expects insurers will have updated rates by April 9, 2010.
 
The DOI there must be run by idiots.

"No, I will not approve your request for a rate increase and until you agree to write policies at lower rates you cannot play with others on the Connector."

My question, so where are Massachutians to go to find health insurance?

We had a comment from someone who resides in the bay state on InsureBlog a few days ago regarding the political battle over rate increases.

If you're looking for a real-life example, here in Massachusetts the fourth largest HMO, Fallon Community Health Plan (FCHP) stopped selling direct to self-employed indviduals like me and sent me to the Romneycare welfare health exchange instead. There I can buy the very same policy I currently have for 20% more. Where does the 20% go? Your DMV/SSA example is perfect. Add the post office and Amtrak

Guess he doesn't even have that option any more.
 
On the MA connector site, they do have a section for brokers, but in MA I have no idea the role of the broker. Seriously, does anybody really sell health insurance in MA? What is the straight story there the last 4 years? This forum is lacking any real information on what has happened to health brokers in MA. What is the real story?
 
Not so fast Moon, really? I have heard that a large majority of folks in MA buy outside the exchange with the assistance of a broker? True or false?
 
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