Health Insurance Costs Will Rise Again in Massachusetts

Health insurance companies in Massachusetts want to raise their prices again next year. The companies are asking to increase costs by 10% to 25% for families who buy insurance. This means many families will have to pay much more money for the same health coverage. Small business owners are especially worried because they already struggle to pay for their workers' insurance.

Governor Maura Healey tried to help by limiting some cost increases to 3.6%. She said this would save families about $230 each year. However, business leaders say this doesn't solve the main problem of rising insurance costs. They want the state to also limit how much insurance companies can raise their monthly payments called premiums.

The biggest insurance company, Blue Cross Blue Shield, wants to raise prices by 15.3% for its 166,384 customers. Another large company called Tufts Health wants an 11.8% increase for its 160,566 members. Fallon Community Health Plan asked for the biggest increase of 25.7% for its 29,641 customers. Harvard Pilgrim Health Care requested the smallest increase at 6.7% for 79,318 members.

Insurance companies say they need more money because medical care costs keep going up fast. Blue Cross Blue Shield said they are spending more on surgeries, mental health visits, and expensive medicines than ever before. The company noted that costs are rising at the fastest rate in more than ten years. They also mentioned that Massachusetts has an aging population that needs more medical care.

Business leader Jon Hurst estimates that average family insurance plans will cost more than $50,000 per year if these increases are approved. He said he likes the governor's effort to limit some costs but thinks it's not enough. Hurst believes the state must also cap how much premiums can increase each year. Last year, state officials rejected some insurance company requests because they thought the increases were too high.