Carriers selling individual plans now have a problem due to the expiration of two key provisions of the Affordable Care Act which are due to expire in 2016. These are collectively called “The Three R’s” – risk adjustment, reinsurance and risk corridors. Without these additional protections, carriers will be forced to look directly at their losses on this book of business and adjust their rates accordingly.
Will individual rates continue to increase? Oh, yes, for clear and obvious reasons
May 16, 2016