In less than six months, more than 100,000 Vermonters buying insurance individually or through businesses with 50 or fewer employees will be required to purchase plans on a state-run exchange, called Vermont Health Connect.
But the premium rates of those plans, and even the exact plans that will be available on the market, are still unknown. The Shumlin administration’s top health care officials said Wednesday that by August they hope to ready this crucial information for public consumption.
“We are striving to have the plans finalized with premiums and in a spreadsheet format that people can download by the end of July,” said Robin Lunge, director of Health Care Reform.
Last week, the Green Mountain Care Board ordered health insurers to take specific steps to reduce their premium rates for Vermont’s new health insurance market. Blue Cross and MVP are the only two licensed insurers that proposed premium rates for the exchange, which is set to open Oct. 1. The premiums are for the six standard plans the board set last year, and for non-standard plans that provide 10 essential benefits set by the federal and defined by the state government. Such benefits include, but are not limited to, preventive care, pediatric vision and oral care, prescription drugs and emergency services.
While representatives from both insurance companies said they were “disappointed” by the board’s decision to order lower rates, they also said that they would not appeal to the Vermont Supreme Court.
According to state statute, the commissioner of the Department of Financial Regulation had five business days to apply the board’s decision, but those five days have passed.
“Since we don’t have an exchange, other things have to happen that the statute doesn’t contemplate,” said Susan Donegan, commissioner of the department.
So, what’s next for the rates?
Blue Cross and MVP were tasked with recalculating their rates based on changes ordered by the Green Mountain Care Board. Lunge said MVP submitted its recalculations this week, and the state is waiting for Blue Cross. Once those rates are certified by the Department of Financial Regulation, the Department of Vermont Health Access will then approve or deny each plan.
Vermont Health Access, which has jurisdiction over the exchange, has the final say over which plans are included in the exchange.
