Delaware Obamacare rates increasing again

Delawareans who have Obamacare plans and are not eligible for federal subsidies or tax credits will face increases of up to 35 percent to their monthly premiums starting in January.

The Delaware Department of Insurance approved rate increases for insurance companies offering individual and small group plans on the Affordable Care Act-mandated marketplace for 2017.

Monthly premiums for individual plans will increase by 18 to 35 percent next year. Increases depend on the plan, age and whether the person smokes. A 21-year-old, nonsmoker, for instance, may see a $64 increase. In some cases, smokers who are over age 60 could pay more than $300 more than they did last year.

Open enrollment on the marketplace for plans offered next year begins Nov. 1. Consumers can compare rates here: www.delawareinsurance.gov/departments/rates/ratefilings.shtml.

Those earning between 100 and 400 percent of the federal poverty level — up to $100,000 for a family of four — are eligible for tax credits that lower the cost of their insurance premiums.

STORY: Feds: Obamacare still affordable with rate hikes

STORY: Smyrna High football player faces leukemia head on

Jonathan Gold, press secretary at the U.S. Department of Health and Human Services, said in a statement that consumers in Delaware will continue to have affordable marketplace options next year and many will be able to select a plan that costs less than $75 per month.

Federal officials said that tax credits increase as premiums increase.

"Headline rate changes do not reflect what these consumers actually pay because tax credits reduce the cost of coverage below the sticker price and shopping helps consumers find the best deal," Gold said. "Meanwhile, for the 61 percent of people in Delaware with employer coverage, premiums have grown at some of the slowest rates on record since the Affordable Care Act was enacted.”

For those who aren't eligible for tax credits, the cost can be debilitating.

Eleanor Mazzio, 64, turned to Obamacare after she was forced to retire early to be a caregiver for her husband. But since her husband has a pension, she said she didn't qualify for tax credits. Last year she paid more than $800 for her premium each month.

Mazzio, who lives near Prices Corner, believes everyone should have health insurance, but the lack of price regulation especially in the pharmaceutical industry concerns her.

"But there is no regulation to control the cost of pharmaceutical drugs," she said.

"I don’t take any drugs," Mazzio added. "I'm just sickened that the costs are so high."

Only Highmark Blue Cross Blue Shield of Delaware and Aetna offer plans on the marketplace. Between the two companies, there are 20 individual plans and 11 options for small businesses.

Highmark asked for about a 32.5 percent increase in individual plan rates to cover rising costs, about 4 percent more than what was requested last year. Aetna, which has pulled Obamacare plans from 11 other states, sought increases of between 23.9 and 25 percent for individual policies and 18.6 to 23.2 percent for small-group plans.

The companies have cited higher pharmacy scripts, in-patient services and the loss of federal reinsurance programs as driving the increase. Large insurers, including Aetna, Cigna and UnitedHealthcare, have dropped out of the exchanges in many areas because of the high costs of covering the sicker-than-expected people who have enrolled in marketplace plans.

Insurance Commissioner Karen Weldin Stewart said she had negotiated lower rates with Highmark, but U.S. Centers for Medicare and Medicaid Services urged her and commissioners in neighboring states to accept the higher rates to ensure that the company would not leave the marketplace.

CMS did not respond to requests for comment late Thursday.

This article contains information from USA Today.

Jen Rini can be reached at (302) 324-2386 or jrini@delawareonline.com. Follow @JenRini on Twitter.