Thursday
Mar042010
Insurance Providers May Soon Have To Reveal Rationale Behind Premium Increases
By Laurel Brishel Prichard-University of New Mexico/ Talk Radio News Service
Health and Human Secretary Kathleen Sebelius told reporters Thursday that through the administration's health care reform effort, health insurance providers could soon be required to publish the rationale behind premium increases on American's policies.
“Right now we have a situation where the top 5 companies filed earning reports of $12.7 billion for 2009 in terms of profit statements and yet pivot around with double digit rate increase," Sebelius said during a conference call with reporters. “People have no bargaining power, they have no leverage and often are desperate in terms of what in the world they are going to do."
According to the secretary, posting the reasons behind raised premiums online will provide additional transparency.
Sebelius's remarks came shortly after a meeting with a variety of the heavy hitting insurance company CEO's and commissioners, including those from UnitedHealth Group, Aetna and WellPoint.
President Barack Obama stopped in during the meeting, according to Sebelius, to share a letter that he received from a cancer survivor in Ohio. Her rates were increased 25 percent last year, which put her insurance premiums at $7,000, with $4,000 in out of pocket costs, and has been informed that her rates will go up another 40 percent this year.
Sebelius quoted Obama saying “that kind of rate increase is just unacceptable and unsustainable.”
Health and Human Secretary Kathleen Sebelius told reporters Thursday that through the administration's health care reform effort, health insurance providers could soon be required to publish the rationale behind premium increases on American's policies.
“Right now we have a situation where the top 5 companies filed earning reports of $12.7 billion for 2009 in terms of profit statements and yet pivot around with double digit rate increase," Sebelius said during a conference call with reporters. “People have no bargaining power, they have no leverage and often are desperate in terms of what in the world they are going to do."
According to the secretary, posting the reasons behind raised premiums online will provide additional transparency.
Sebelius's remarks came shortly after a meeting with a variety of the heavy hitting insurance company CEO's and commissioners, including those from UnitedHealth Group, Aetna and WellPoint.
President Barack Obama stopped in during the meeting, according to Sebelius, to share a letter that he received from a cancer survivor in Ohio. Her rates were increased 25 percent last year, which put her insurance premiums at $7,000, with $4,000 in out of pocket costs, and has been informed that her rates will go up another 40 percent this year.
Sebelius quoted Obama saying “that kind of rate increase is just unacceptable and unsustainable.”
Massa's Allegations "Absolutely Untrue," Says Hoyer
House Majority Leader Steny Hoyer (D-MD) said Tuesday that statements made by former Rep. Eric Massa (D-NY) claiming that he was forced out of office in order to pass health care reform legislation were "absolutely untrue."
“[It is] absolutely untrue ... that there was any relationship between actions and the health care bill. Period," Hoyer said during his weekly pen and pad session with reporters.
Massa, who resigned amid allegations that he had made inappropriate, sexual remarks to a staffer, has accused Hoyer of falsely stating that the Majority Leader had contacted Massa prior to the revelation of the scandal.
Hoyer denied making the claim, and instead stressed that each Congressman's staffs were in contact.
“I never talked to Mr. Massa,” said Hoyer. “My staff talked to his staff.”
Hoyer's staff reportedly urged Massa’s staff to go to the Ethics Committee within 48 hours or Hoyer’s office would take action themselves.