Michael Fisher: Health insurance costs likely to rise; there’s a chance to comment

This commentary is by Michael Fisher, chief health care advocate for Vermont Legal Aid.

The cost of health insurance is likely to go up in January for roughly 72,000 Vermonters who buy their insurance through Blue Cross Blue Shield of Vermont and MVP Health Care. How much the price goes up will be decided by the Green Mountain Care Board after hearings in July. 

If the increases requested by the two insurers that sell health insurance policies to individuals and small businesses in Vermont are approved, premiums will go up an average of 15%. Although Vermonters would experience a different rate of increase based on the policy they choose and their income level, the net effect for just about everyone would be higher premiums. 

Before the hearings in July, the Green Mountain Care Board needs to hear from Vermonters about how premium increases will affect their ability to access high-quality, affordable health care for themselves and their families.

Vermonters may have felt less pressure from recent premium increases because of subsidies provided through the American Rescue Plan Act combined with state-level changes to our health insurance market. But that dynamic is likely to look quite different in 2023, especially for Vermonters who buy their insurance through Vermont Health Connect. 

The ARPA subsidies that helped make premiums affordable for many people in the individual market are set to expire at the end of 2022. Legislation that would extend those subsidies — President Biden’s Build Back Better Act — remains blocked in Washington, with little or no progress on compromise legislation. 

Back in Vermont, state leaders approved legislation maintaining unmerged individual and small group markets for 2023. This legislation was justified in part by the belief that the enhanced federal subsidies will be renewed, which is unlikely.

Without these federal subsidies, and with Vermont’s individual and small group markets remaining unmerged, Vermonters at and just above 400% of the federal poverty level will feel the deepest impact of the 2023 rate increase. 

For example, in 2023 a Vermont household of three that buys their insurance through the individual marketplace and makes over $92,120 per year will no longer be eligible to receive any premium assistance.

Additionally, If the rate increases proposed by Blue Cross Blue Shield and MVP are approved, they will have a significant impact on many households across the income spectrum who already struggle with health care affordability. 

The Office of the Health Care Advocate acts as the consumer voice in the rate review process. We represent the public in rate review hearings and advocate for affordability in our health care system. It’s our responsibility to tell the Green Mountain Care Board how these proposed rate increases impact Vermonters and their families. 

To bring attention to these proposed rate increases, we are spreading the word about the public comment process. The Green Mountain Care Board is obligated by law to take public comments on proposed rate filings and take this testimony into consideration during the rate review hearings.

Help us bring attention to the lived experience of health care affordability by sharing how these proposed rate increases could impact you, your family and your community. Visit: bit.ly/GMCBComment to share your story and bring attention to this critical issue. 

If you need assistance submitting a public comment, or you want individual advice related to health insurance or access to care issues, contact the Office of the Health Care Advocate’s HelpLine at 1-800-917-7787 or visit www.vtlawhelp.org/health.