Insurers Seeking Large Premium Hikes for Obamacare Plans

The nation’s insurers are experiencing large increases in healthcare costs, and as a result, many want double-digit premium hikes that could make Affordable Care Act plans much less affordable for millions of Americans.

“Insurers seem to be reporting higher trend, which means they are seeing bigger increases in healthcare costs,” said Larry Levitt, senior vice president for special initiatives at the Kaiser Family Foundation, reports Politico.

“But really what’s going on here is they now have data showing what the risk pool looks like. Initially in 2014 they were completely guessing about who was going to enroll and how much healthcare they were going to use.”

In New Mexico, Blue Cross Blue Shield has proposed a 50 percent premium increase for its Obamacare plans, but state officials may reject the request. However, insurance experts predict premiums will go up even more next year than they did during the initial two years after Obamacare coverage was approved.

This year alone, premiums went up by about 5.4 percent, according to the PwC Health Research Institute, Politico reports.