Thousands Of Consumers Get Insurance Cancellation Notices Due To Health Law Changes
By Anna Gorman and Julie Appleby
KHN Staff Writers
Oct 21, 2013
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Some Policies Targeted
Both Independence and Highmark are cancelling so-called “guaranteed issue” policies, which had been sold to customers who had pre-existing medical conditions when they signed up. Policyholders with regular policies because they did not have health problems will be given an option to extend their coverage through next year.
Consumer advocates say such cancellations raise concerns that companies may be targeting their most costly enrollees.
They may be “doing this as an opportunity to push their populations into the exchange and purge their systems” of policyholders they no longer want, said Jerry Flanagan, an attorney with the advocacy group Consumer Watchdog in California.
Insurers deny that, saying they are encouraging existing customers to re-enroll in their new plans.
“We continue to cover people with all types of health conditions,” saidHighmark spokeswoman Kristin Ash.
She said some policyholders who may have faced limited coverage for their medical conditions will get new plans with “richer benefits” and the policies “in most cases, will be at a lower rate.”
Paula Sunshine, vice president of marketing with Independence, said the insurer hopes the cancelled policyholders will “choose Blue when they decide on a new plan.”
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Wow, Big Insurance gets to dump their “losers” on the Taxpayers and get all the healthy youngsters FORCED to buy their over-priced products. What could be wrong with that?
Remind you of Wall Street!
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