ST. PAUL, Minn. – Health insurers in the state are expected to finalize their premiums for Minnesota customers in 2018 later in the day on Monday.
The announcement will come from state regulators following speculation over the summer that the change could be as beneficial as a 15 percent decrease in premiums, reports WCCO. On the flip side, expectations also included a more pessimistic estimate of an 11 percent increase.
If the reality trends more towards the pessimistic side of projections, it will mark the third straight year in which Minnesotans will experience a double digit increase in their health insurance premiums.
Alpha News previously reported on an April report by the Minnesota Council of Health Plans, a trade group for health insurers in the state. That report revealed that in total, all of Minnesota’s health insurers endured a combined operating loss of $687 million. That 2.7 percent loss was the worst mark for the industry in the past ten years.
Most of that loss came from the public plan side of insurance. The state of Minnesota paid $356.7 million less into the system than health insurers ended up paying out in claims for plans covering children and families. State supported insurance for disabled and elderly people cost the industry another $16.7 million.
With those losses, one would expect a more pessimistic result.
WCCO also reports that the more positive side of the premium rate projections hinges strongly on federal approval of the creation of an additional $549 million fund by the state. That fund is expected to help control costs of premiums for consumers for the next two years, at the expense of all taxpayers in the state. Regardless, rates for individuals are expected to vary widely based on age, location, and the type of plan consumers have.