business
Anthem files for another rate increase in Maine
NEWS IN BRIEF — Posted March 7, 2011
After contentious bids to raise rates on individual subscribers in Maine in 2009 and 2010, WellPoint subsidiary Anthem Blue Cross and Blue Shield of Maine has filed a request for an average 9.7% increase in premiums for 11,000 subscribers to take effect in July. The maximum requested increase is 19%.
Maine Insurance Superintendent Mila Kofman has ruled Anthem's last two rate increase requests excessive and approved smaller increases than the plan wanted. In April 2010, a court upheld her 2009 decision to lower the increase in rates to a level that Anthem projected would allow for it to just break even. She again lowered a requested rate hike in 2010 but allowed the company a projected 0.5% profit margin. Anthem's appeal of that decision remains pending.
As her office prepares to consider the most recent request, Kofman already has scheduled public meetings for March 14 in Portland and March 21 in Orono, at the University of Maine's campus. She also hired actuarial consultants to help review Anthem's filing.
Note: This item originally appeared at http://www.ama-assn.org/amednews/2011/03/07/bibf0307.htm.
