According to the parent company, Well Point Inc, of Anthem Blue Cross, the California health insurer which faced public outrage after it proposed raising premiums by as much as 39 percent for its individual policyholders has withdrawn the proposed increase and plans to refile new rates next month.
Based In Woodlands Hills, in January, Anthem informed its 800,00 Californian members buying the coverage on their own said that their rates would go up March 1 , an average of 25 percent , and as high as 39 percent for some policyholders. It may be noted that last week the insurer delayed the increases until May 1 and postponed then for the second time to allow the state to complete its review.
Brian Sassi, Head of Well Points consumer’s business unit, said in a statement,
"We think it is in the best interests of our customers and those seeking insurance coverage in California to refile our rates, taking into consideration the health care reform law and the most recent cost and utilization information available. Our goal is to make health care reform work for our members.
” For consumers however, there was little solace as Gail Terry Grimes , 62 , of San Francisco , a freelance writer , who was informed her rates would go up from $721 a month to $903 per month , for a 25 percent hike. He says, “There has been nothing concrete to either reassure me or give me the facts”.
The GOP primary candidate for governor today released a 10 paged summary of an analysis of the rate hikes, Poizner, said, “The bottom line is their rate application was full of a lot of mistakes and they've withdrawn (the proposal)," We need Anthem to go back to the drawing board."
