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Anthem Blue Cross Individual Rate Increase Postponement until 5/1/10
March 1, 2010
(Source: Anthem Blue Cross - News Flash 2/16/10)
Anthem takes seriously our commitment of ensuring that our members have access to quality health care.
We want to make sure that you have the facts and are informed.
Anthem Blue Cross Life and Health Insurance Company has agreed to a request by the California Department of Insurance to postpone our March 1, 2010 rates to May 1, 2010, pending an additional third-party review. The review will be conducted by Axene Health Partners, LLC, retained by the California Department of Insurance. While we have already conducted an independent third-party review, we welcome the additional scrutiny by the commissioner and are confident that our rates will continue to reflect anticipated medical costs and are established consistent with actuarial principles and state law. In order to avoid confusion, we are also delaying the implementation of the rate increases for individual medical plans offered by Anthem Blue Cross.
In an effort to make sure that you and your clients continue to be kept up-to-date, the following steps have been taken:
- We are sending pre-recorded messages to your clients beginning Tuesday, February 16th, with details about how the postponement of our March 1, 2010 rates will affect them.
- We will be mailing letters to members this week, with details about how the postponement of our March 1, 2010 rates will affect them.
- Also, we have created a new page at our secure agent website at anthem.com titled, March 1, 2010 Rate Action Postponement and the following documents have been posted to that new page:
- Brian Sassi Response to Secretary Sebelius
- Brian Sassi Press Release: Rate Action Postponement Announcement
- Sample of the Member Letter
- Detailed Q and A with Talking Points for Agents
- Pre-Recorded Message: Calls to Member
- Official Agent Notification/Letter
In the letter to be mailed to your clients this week, we provide details about how the postponement of our March 1, 2010 rates will impact their premiums at this time. The following points below outline the contents of the letter:
- As of March 1, 2010 your clients will be billed at their prior rate of premium.
- Each letter will list the actual dollar amount of premiums for your clients.
- For your clients who have already paid their monthly premiums, we do not have a date yet but we are hoping to have refunds completed by the end of March.
- Your clients will soon receive a new bill with their prior rate.
- Clients who pay with recurring checking or credit card deductions will be debited their previous rate for their March 1, 2010 bill.
- Clients not on automatic-withdrawal payments will have 30 days from receipt of their new bill to pay their premium.
As mentioned above, you and your clients will also begin to receive a prerecorded message from Anthem, which provides further explanation and information detailing specifics of the March 1, 2010 Rate Action postponement and next steps. That message will also be posted to the secure agent site for future reference.
What will my clients need to do?
The steps noted above will be automatically processed for your clients and there is nothing that they will need to do right now.
What is Anthem doing to assist in retaining your clients?
Clearly, we understand that these increases create a challenge for many of your clients. However, it is important to know that your clients often have a choice of coverage. To assist your clients, Anthem offers a team of licensed Health Plan Advisors for those members who call us directly.
These advisors are dedicated to assisting members find something to meet the balance between their coverage needs and their budget especially in these challenging economic times.
We will continue to keep you apprised of any additional developments. For questions, please contact Sherrie Zenter, Vice President of the Employee Benefits Department at 818-933-2739 or email szenter@mmibi.com.
