Health Insurers Seeking 20% Rate Increase

According to a recent national survey, health insurers across the county are seeking premium increases averaging 20% or more for 2003. The increases are much higher than previously anticipated; earlier surveys indicated that companies would probably face increases of 12% to 15%. Although 20% was the average rate increase, several insurers are seeking rate increases as high as 37% and 50%. The burden of the increased rates would mostly be passed along to consumers in the form of higher premiums, larger deductibles, and increased payments for prescription drugs, doctor visits, and hospital care.

From "Health Insurers Are Seeking 20% Rate Rise," by Milt Freudenheim, June 5, 2002 New York Times