Maine insurance regulators will allow Anthem Blue Cross/Blue Shield to renew policies that were subject to cancellation next year because they do not comply with the Affordable Care Act.
The recent decision will give thousands of Mainers extra time to choose new insurance plans that meet the standards set by new national health care laws. At least 8,500 Anthem policyholders in Maine were among millions of Americans who got cancellation notices for policies they bought on the individual market. The notices forced them to shop for plans with more comprehensive coverage but often higher premiums.
“This decision is meant to give several thousand Maine policyholders another option for 2014,” Maine Bureau of Insurance Superintendent Eric Cioppa said in a prepared statement. “It will also result in a smaller premium increase for those choosing to continue their current plan, and provide more time for those individuals to evaluate plans for future years.”
An Anthem representative said the company is pleased with the decision and plans to offer policyholders extensions.
“This decision will give our members more options in 2014,” Rory Sheehan, spokesman for Anthem Blue Cross Blue Shield of Maine, said.
The Obama administration announced a major policy shift earlier this month to allow insurers to continue offering the non-compliant plans next year, but the decision was left up to each state and insurance provider. So far, Maine and 14 other states have agreed to allow insurers to keep offering non-compliant plans next year.
In Maine, an estimated 32,000 people have health insurance on the individual market and 90,000 are covered by policies bought on the small-group market. About half of Mainers with individual policies faced the prospect of having to change policies next year because their plans had inadequate coverage or they had not had them long enough to be exempt from the law’s requirements.
Anthem officials said recently that small group policyholders will not be affected by last week’s announcement. The company has already offered small group customers the option of renewing their current policies early, thereby allowing them to postpone making a decision on a new plan until later in 2014.
Anthem provides most of the non-compliant plans in Maine, covering about 9,600 individuals. The company will contact affected individual policyholders in the coming days to discuss their options.
In the meantime, he said, those with questions should call their insurance brokers or Anthem at (877) 890-4507.
