Progress Made In Blue Cross Rates

Fri., Aug. 16, 1996

From Staff And Wire Reports

State Insurance Commissioner Deborah Senn said Thursday she and Blue Cross of Washington and Alaska have partially settled a rate-increase dispute that will allow Blue Cross to keep a 19 percent increase in individual rates imposed last year.

Still in dispute is an additional rate increase of 14 percent being sought by the big medical insurer against individual subscribers.

“This settlement is forced upon Blue Cross subscribers because of” 1995 legislation that repealed the state’s health care overhaul law, Senn said.

She contended that the law, repealed by the 1995 Legislature, had contained provisions shielding individual health care insurance subscribers from big rate increases.

The insurance industry disagrees with that view, saying the rates are up because of regulatory changes that forced insurers to provide coverage to too many sick people, thus driving up costs.

Senn said she will continue to resist granting the additional 14 percent increase.

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