April 30th was the deadline for the Wisconsin health insurers to motion if they will join the exchange. While Gov. Scott Walker rejected a state run exchange, insurers still needed to file their plan designs for the federally run exchange. However, information on their plan designs and rates will not be released by the Office of Commissioner of Insurance until July. With enrollment for the exchange scheduled to start in October for January 1, 2014 renewals; this information is essential to companies considering whether to continue offering medical benefits or to send their employees to the exchange.
Companies with 50+ employees are those mainly looking toward the exchange. The penalty for not providing health insurance is $2000-$3000 per employee per year; much less than paying for health insurance with double-digit increases on the horizon.
Reasons for the high premiums may be because of the following inclusions:
- High risk profiles for those in the exchange that other insurers won't cover.
- Pre-existing conditions
- Members in the Wisconsin Health Insurance Risk-Sharing Plan (HIRSP)
- New limit on ratings based on age.
Wisconsin Business; for more information regarding R&R’s Play or Pay calculator; contact Jane Shevey.
