One of the largest medical insurance carriers in Maryland has announced that costs for Small Group Health Plans through the Exchange will cost 10% to 20% more due to mandated Essential Health Benefits taxes, fees and assessments imposed on carriers. Here is a partial break-down of those additional mandates/costs:
Transitional Reinsurance Program: $5.25 Per Member Per Month
Health Insurer Fee: Estimated at 2-3% of Premium
QHP Certification Fees-Not yet determned from Federal Government
Non-Grandfathered Groups-Pediatric Dental and Vision Being Added to Small Group Plans
This comes on the heels of information from President Obama's budget sent to Congress on April 11th, 2013 stating that costs for the Network of Health Insurance Exchanges for only half of the states will cost more than doulble the intial estimate. Even though the intial costs projections were for the set-up of all states Exchanges. Go figure, this is going to cost a heck of a lot more than we first were told by the President and the Federal Government.