As many of you are aware, New York State Health Insurers were required to file their requested rate increases for 2022 earlier this year. The State Department of Financial Services (DFS) then reviews these rates and makes adjustments as they see necessary.
Health Insurance carriers initially had requested an overall rate increase of 14% statewide for small groups. DFS reduced these requested rate increases by almost half, down to just 7.6% . With the exception of one carrier, the approved rates increases for every carrier will be in the single digits, helping save small nonprofits greatly needed resources for their operations.
As consumers still feel the economic effect of the pandemic, DFS cites that their number one job is “consumer protection and ensuring that quality, affordable health care is available to everyone in the state”
“As in prior years, the continued rise of health care costs is the main driver of premium rates. Medical claims decreased significantly in 2020 due to the postponement of elective and non-emergency services, but medical claims have increased in 2021 as New Yorkers catch up on medical appointments and postponed services. As a result, medical claims trends, the rate at which medical costs and utilization increase, have returned to pre-pandemic levels.”
See the full press release below.
If you have questions about your Health Insurance rates or would like to learn more, please contact the team at Council Services Plus at
INFO@COUNCILSERVICESPLUS.COM or (877)501-4277.