According to a new analysis, premiums on ObamaCare’s health insurance exchanges will rise by an average of 7.5% next year.
The Health Research Institute (HRI) at PricewaterhouseCoopers compiled data and found modest changes in premiums for 27 states and the District of Columbia.
The national increase average of 7.5% is “well below the double-digit increases many feared,” HRI Managing Director Ceci Connolly wrote in an email.
Indiana has the highest average price increases under ObamaCare, some consumers will see prices rise by 15.4%.
The average individual monthly premium for next year, before any subsidies are applied, is $384,” Connolly wrote. “And insurance commissioners get a chance to weigh in on rates before fall enrollment.”
For the insurance industry the healthcare law’s first enrollment period was a big test. Premium prices were set with little information about who might sign up for coverage.
2015 rates shed light on how well insurance company’s guesses will pan out.
Prices are generally being raised by companies if their new customers will use more medical care than projected, are older or sicker.
On the other hand, firms with a healthier pool have an incentive to lower premiums.
ObamaCare’s second enrollment period begins Nov. 15.
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