Source: Peter Suderman
On Friday, Minnesota Commerce Commissioner Mike Rothman became the second state insurance regulator in recent weeks to warn that their state’s individual insurance market—which includes its health insurance exchange—is on the brink of collapse. In a press release, officials said that rates for the seven insurers operating in the state’s individual insurance market would increase by between 50 and 67 percent. Those hikes were necessary to prevent a full-blown failure. “It’s in an emergency situation—we worked hard and avoided a collapse,” Rothman told Bloomberg News.
Just a few weeks earlier, Tennessee Insurance Commissioner Julie McPeak declared that the state’s Obamacare exchange was “very near collapse.” The state allowed two insurers to re-file requests for rate increases, eventually approving hikes of more than 40 percent, which McPeak said was necessary in order to stave off a meltdown.
The problems are widespready, although the extent and particulars of…
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