Minnesota health insurers have proposed new rates for the upcoming enrollment period and for the second year in a row, people are seeing double digit increases in their health insurance premiums. According to Star Tribune, the five percent of Minnesotans (270,000 people) who obtain their health insurance coverage in the individual market will be asked to pay an average of 36 to 67 percent higher premium than what they were paying last year.
A major shift will be hitting the individual market in 2017, as Blue Cross Blue Shield will be dropping all individual market PPO plans. Blue Cross and Blue Shield of Minnesota is Minnesota’s largest health insurer, but have taken a loss of roughly $500 million over the last three years in the individual market according to BCBS. The insurer said that their claims for medical care greatly exceeded their revenue from premiums for those plans.
The Internal Revenue Service (IRS) announced changes for 2016 contribution and rule changes to health savings accounts (HSAs) and for out-of-pocket spending under high-deductible health plans (HDHPs) linked to them. In Revenue Procedure 2015-30, issued May 5, 2015, the IRS provided the inflation-adjusted HSA contribution and HDHP minimum deductible and out-of-pocket limits, effective for calendar year 2016. The higher rates reflect a cost-of-living adjustment and rounding rules under Internal Revenue Code Section 223.
With the open enrollment period for individual healthcare plans quickly approaching, many Minnesotans find themselves concerned with the recent announcement of rate increases. Individual healthcare plans that are effective January 1st are expected to experience an increase anywhere between 14 and 49 percent in cost.
The IRS released the 2016 inflation-adjusted amounts for Health Savings Accounts (HSAs). For calendar year 2016, the annual limitation on deductions for an individual with self-only coverage under a high deductible health plan is $3,350 and for an individual with family coverage under a high deductible health plan is $6,750.
The IRS has recently released the information for the 2015 HSA health plans. A Health Savings Account is a tax-sheltered savings account that belongs to you and is linked with your high deductible health plan. You can make contributions for the tax year 2015 until April 15th, 2016. When comparing this years contribution limits to last years here are the major changes:
What is a Special Enrollment Period? You and your family may be eligible for a Special Enrollment Period (SEP), which is a time outside of open enrollment. This is a time when you would have the ability to change your insurance plan. You must have experienced a Qualifying Life Event (QLE). Generally, your SEP starts on the date that the Qualifying Life Event takes place, and ends 60 days later. You must choose a new plan and pay the premium before the SEP ends in order to guarantee coverage.
Minnesotans are now a just a couple of weeks into the introduction of MNSure open enrollment. Most individual and family health insurance policy owners are just now receiving letters from their insures showing the coverage changes due to the Affordable Care Act accompanied by large premium increases. Below is a step by step approach to navigating the complicated world of health insurance, MNSure, and shopping for new individual/family health insurance plan.
The Minnesota Health Insurance Exchange is opening its virtual doors to the public on October 1st, 2013 as a result of the Affordable Care Act. Health insurance professionals at MN Health Insurance Network will be helping individuals and families navigate this new online marketplace step-by-step in a variety of ways. First, we will help you determine if you are eligible for any type of subsidy or tax-credit within the MN Exchange. Government subsidies and tax credits
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