In 2018, the federal age curve of the Patient Protection and Affordable Care Act (ACA) is changing for the first time. As a result, ACA premiums for individuals under 21 years of age will increase. It is important for health insurers to develop a communications plan that will explain to members why their premiums are increasing.
In their article “Are health carriers ready to explain the 2018 age curve?,” Milliman’s Amy Giese and Nicholas Krienke outline the ways carriers can communicate with members. The authors also discuss some underlying issues carriers must consider to effectively communicate the age curve’s effect on premiums.
Commercial health issuers should develop contingency plans as legislative proposals designed to modify the Patient Protection and Affordable Care Act (ACA) emerge. While the direction of the ACA marketplace is uncertain now, health plans can proactively evaluate the risks and rewards of various contingency plans to act quickly once the new market environment becomes clear.
Milliman actuaries Amy Giese and Alison Fasching have authored a new paper offering issuers considerations for commercial contingency planning. In the paper, the authors explore the following new “three Rs” to mitigate risk in the current environment:
• Remain in the market
• Refile in the summer if changes occur after products are initially filed
• Remove products from the market
To learn more about the developing healthcare landscape in the United States, follow Milliman Healthcare reform 2.0.