IL–The Death Spiral Begins

Comment: When costs rise unsustainably (thanks Obamacare!), the first things to go are benefits, to the bone. Then come the rate increases.  And kiss PPOs goodbye.

“The state’s largest health insurer is eliminating its most popular individual plan, called Blue PPO, which has the largest network of doctors and hospitals of any plan the company offers, because it was too costly for the company. The plan will still be available for employer groups next year.”

Great job providing more choice, Obamacare.

“Tony Schor, of Highland Park, who bought Blue Cross insurance for his family of four through a broker, said he was startled when he got a letter from the company a few weeks ago telling him his plan was being discontinued at the end of the year.”

I’ll be honest with you, I’m concerned,” said Schor, a small-business owner. “I’m truly at the edge of my seat because I don’t know what the new plan will look like.”

[...]

“Blue Cross said the broad, open access plan was no longer sustainable at current premiums because the medical costs were too high. If the costs of one plan are high, it raises the premiums for all of the company’s individual plans, Blue Cross said.”

Notice–Obamacare has driven up the costs so high that your old benefits are no longer even worth offering–no one could afford them.  So now you’ll pay, and for much less. Thanks Gruber!

” “The amount of rate increase that would have been needed to cover the costs of the broad PPO would have been too high to justify offering it to the market,” Blue Cross spokeswoman Mary Ann Schultz said.”

[...]

If you like your doctor, you can keep your doctor?

“Blue Cross said it will automatically switch members enrolled in the broad PPO to the Blue Choice plan. [...]. But there is one big difference. The broad PPO included every hospital in Illinois — all 209. Blue Choice’s network had 78 hospitals this year.”

[...]

“Mike Troha, a broker at Healthcare Solutions Team, said other carriers on the Illinois exchange also offer plans with smaller networks to reduce costs.”

I wouldn’t be shocked if all the PPOs are gone in a few years in the individual markets,” he said.”

Blue Cross eliminates most popular individual plan
October 10, 2015
Ameet Sachdev, Chicago Tribune

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