A health insurer that gets too creative with updating its major medical products could get itself shut out of a market.
Officials at the Center for Consumer Information & Insurance Oversight (CCIIO) talk about the limits on health insurance product update creativity in a new memo.
What the heck is CCIIO?
CCIIO is part of the Centers for Medicare & Medicaid Services (CMS). CMS is part of the U.S. Department of Health and Human Services (HHS).
HHS and CMS set up CCIIO to oversee the HHS programs created by the Patient Protection and Affordable Care Act of 2010 (PPACA) that affect the commercial health insurance important.
For commercial health insurance agents, brokers and consultants, CCIIO is important because it is, in effect, their federal regulator.
Why did CCIIO put out the memo?
CCIIO officials were answering insurers’ questions about the rules for changing and withdrawing the products they sell. Insurers now have to put rates for individual and small-group major medical products through a rate review process managed by CCIIO for some states and supervised by CCIIO in all states.