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August 02, 2013 at 03:06 PM
Ohio could end up with a highly competitive health insurance exchange program, but regulators say the cost of the coverage sold could be expensive.
State regulators turned in paperwork on Patient Protection and Affordable Care Act (PPACA) exchange plans Wednesday.
The U.S. Department of Health and Human Services (HHS) will be running a “federally facilitated exchange” (FFE) program in Ohio.
The individual exchange attracted applications from 12 insurers, and the state’s Small Business Health Options Program exchange attracted applications from six insurers.
The insurers want to sell a total of 200 plans through the individual exchange and 184 plans through the SHOP exchange.
The federal government must still sign off on the plans.
The number of plans available to consumers will differ by region, the insurance department said. But small businesses should have two to three plans to pick from while individuals could choose from at least four plans.
But officials said they expect buyers of individual coverage to pay an average of 41 percent more for their monthly premiums in 2014 than they would have paid for comparable coverage in 2013.
Small businesses can expect their monthly rates to rise an average of 18 percent, officials said.
The increases are partly due to consumers receiving more benefits under the plans than previously available and new PPACA underwriting rules.
PPACA is supposed to require insurers to sell all individual coverage on a guaranteed-issue basis. Today, some Ohio residents with health problems cannot get commercial health insurance at any price.
The details from the Ohio Department of Insurance were the first glimpse from the state of what consumers could see should they purchase private insurance in the PPACA marketplaces.
