Premiums for silver plans will rise substantially more than bronze and gold plans due to many states’ insurers loading the cost from the eradication of the cost-sharing reduction payments in the tier, according to an analysis by The Henry J. Kaiser Family Foundation.
With open enrollment for the 2018 marketplace starting tomorrow, premiums for these health plans were released ahead of time in order to allow consumers to see their plan options.
A report by The Henry J. Kaiser Family Foundation analyzed data from the 2017 and 2018 Individual Market Medical files to determine premiums and the benchmark amounts to calculate premium tax cuts.
The authors illustrated how premiums will change for 2018 by analyzing the change in the lowest-cost bronze, silver, and gold plans in counties participating in the federal marketplace. They showed results for a 40-year-old paying the full premium and for a 40-year-old with an income of $25,000 (207% of poverty), $30,000 (249% of poverty), $35,000 (290% of poverty), and $40,000 (332% of poverty), who would be eligible for a premium tax credit.
“Premiums are rising significantly in many counties across the country, in part due to the decision of the Trump administration to cease payments to insurers for cost-sharing reductions,” wrote the authors. “Insurer participation also declined in many areas, leaving more counties with only 1 insurer, which likely contributed to the high rate of premium growth.”
In the coming year, premiums for silver plans are rising substantially more than bronze and gold plans due to many states’ insurers loading the cost from the eradication of the cost-sharing reduction (CSR) payments in the tier. The unsubsidized premium for the lowest-cost silver plan will increase an average of 35%, while the lowest-cost bronze plan will increase an average of 17%, and the lowest-cost gold plan will increase an average of 19%.
For consumers who receive premium tax credits, the amount they’re required to pay will often be lower. Because of the sharp increase in premiums for silver plans, enrollees eligible for the tax credit will get higher premium tax credits, which will make gold plans more attainable and bronze plans much cheaper.
With these increases, the lowest-cost gold premium will be lower than the lowest-cost silver premium in 459 counties across the country.
In context, a 40-year-old making $35,000 (249% of poverty) and eligible for tax credit will on average pay 39% less for their share of the premium for the lowest-cost bronze plan, 7% less for the lowest-cost silver plan, and 13% less for the lowest-cost gold plan. The savings are higher for those with lower incomes.
“The differences in premium changes across plan types and the peculiar effect these differences have on plan costs for both unsubsidized and subsidized enrollees makes it important that consumers shop around and carefully consider their opinions,” concluded the authors.
Oncology Onward: A Conversation With Thyme Care CEO and Cofounder Robin Shah
October 2nd 2023Robin Shah, CEO of Thyme Care, which he founded in 2020 with Bobby Green, MD, president and chief medical officer, joins hosts Emeline Aviki, MD, MBA, and Stephen Schleicher, MD, MBA, to discuss his evolution as an entrepreneur in oncology care innovation and his goal of positively changing how patients experience the cancer system.
Listen
New Insights on Breast Cancer Outcomes Among Sexual, Gender Minorities
December 7th 2023Despite there being a great demand for data collection on sexual orientation and gender identity in the cancer space, individuals who identify as a sexual and gender minority remain poorly represented.
Read More
Insufficient Data, Disparities Plague Lung Cancer Risk Factor Documentation
September 24th 2023On this episode of Managed Care Cast, we speak with the senior author of a study published in the September 2023 issue of The American Journal of Managed Care® on the importance of adequate and effective lung cancer risk factor documentation to determine a patient's eligibility for screening.
Listen
Refining Precision Prevention for Benign Breast Disease
December 7th 2023Many questions remain surrounding accurately classifying the risk of developing invasive breast cancer associated with the benign breast disease diagnoses of nonproliferative lesions and proliferative changes without atypia.
Read More
Prediction Model Identified Risk Factors for ED Visits in Patients With Lung Cancer
December 7th 2023A risk prediction model that was based on machine learning could help to make resource utilization more efficient by correctly predicting emergency department (ED) visits in patients with lung cancer.
Read More
Oncology Onward: A Conversation With Thyme Care CEO and Cofounder Robin Shah
October 2nd 2023Robin Shah, CEO of Thyme Care, which he founded in 2020 with Bobby Green, MD, president and chief medical officer, joins hosts Emeline Aviki, MD, MBA, and Stephen Schleicher, MD, MBA, to discuss his evolution as an entrepreneur in oncology care innovation and his goal of positively changing how patients experience the cancer system.
Listen
New Insights on Breast Cancer Outcomes Among Sexual, Gender Minorities
December 7th 2023Despite there being a great demand for data collection on sexual orientation and gender identity in the cancer space, individuals who identify as a sexual and gender minority remain poorly represented.
Read More
Insufficient Data, Disparities Plague Lung Cancer Risk Factor Documentation
September 24th 2023On this episode of Managed Care Cast, we speak with the senior author of a study published in the September 2023 issue of The American Journal of Managed Care® on the importance of adequate and effective lung cancer risk factor documentation to determine a patient's eligibility for screening.
Listen
Refining Precision Prevention for Benign Breast Disease
December 7th 2023Many questions remain surrounding accurately classifying the risk of developing invasive breast cancer associated with the benign breast disease diagnoses of nonproliferative lesions and proliferative changes without atypia.
Read More
Prediction Model Identified Risk Factors for ED Visits in Patients With Lung Cancer
December 7th 2023A risk prediction model that was based on machine learning could help to make resource utilization more efficient by correctly predicting emergency department (ED) visits in patients with lung cancer.
Read More
2 Clarke Drive
Cranbury, NJ 08512