Health insurance expenses are slated for the highest jump since the COVID-19 pandemic. This is mainly true for people enrolled in Covered California. The state-based market announced that premiums of health insurance will enhance by an average of 6% state-wide next year (2023).
So, if you are already enrolled or thinking of enrolling in Covered California, read out this blog up to the end. It will help you find out some important facts you need to know about the increasing rates.
How Will the Covered California Insurance Premiums Enhance Compared to Other States?
Covered California announced that its insurance premium increase is considerably lower than other states. A study of 72 insurers all over 13 states and Columbia found the average suggested premium increase is 10%.
Why is Covered California Enhancing Rates?
After record-low changes in rates in 2021 and 2020, only some people went to medical professionals for routine visits. And, this situation continued throughout the COVID-19 pandemic. Covered California now said that things have started to bounce back. More and more people have started seeing their doctors again and are now moving forward with processes that they had delayed.
How Will the Changes in Rate Differ by Region?
In Placer, Sacramento, Yolo, and El Dorado counties, an average enhancement of 4.7% is expected. This is a little bit low in comparison with 5.6% in Stanislaus and San Joaquin counties.
When Will the Rate of Covered California Start to Increase?
Covered California announced that open enrollment for people to choose their health insurance plans started on Nov. 1, 2022. The rate changes are going to take effect on Jan. 1, 2023. In order to know more in this regard, read our Facebook posts.
How Health Insurance Costs Can Be Affected by American Rescue Plan Expiration?
American Rescue Plan of the federal government’s subsidies increased their financial help to Californians during the COVID-19 pandemic. It is set to end at the end of this year (2022). According to Covered California, it would imply 220,000 Californians can be priced out of coverage in 2023. And, the average net premiums for almost one million low-income customers would be twice.
If all these seem a little bit confusing to you and think that you need guidance, contact a Covered California storefront and certified agency. They will guide you and help you choose the best health insurance plan. To get a great experience, choose to contact us. We’re a reputed agency offering people health insurance for a number of years.