ANDOVER, MA--(Marketwire - November 16, 2009) - Massachusetts small businesses insured with
Blue Cross & Blue Shield will likely see their health insurance premiums
skyrocket around 20 percent to 45 percent in the first of quarter of 2010,
according Jim Edholm, president of Business Benefits Insurance in Andover,
Mass.
"We just got a batch of renewals for BCBS for January, and they are ugly,"
he said.
Many of these organizations will get their rate shock when their plan
renews in January. For others with later renewal dates, the pain may
lessen, depending on the renewal month, Edholm said.
"BCBS has had a very long run of success with rates, and this is just the
inevitable catch-up," Edholm said. "BCBS goofed last year -- big time --
when they calculated the rates for higher-deductible plans."
Few employers can afford such big hike today. So what can they do? Edholm
recommends:
-- Be creative. Be open to looking at alternative carriers and ways of
structuring your health plan.
-- Help may be on the way. Sometime in 2010 -- maybe as early as Jan. 1 -
-- BCBS is expected to introduce "tiered" products, which ought to be very
competitive.
Edholm's blog on the subject can be read at
http://blog.group-insurance-guide.com/2009/10/26/blue-cross-of-mass-ugly-times-coming/#more-437.
Business Benefits Insurance (
www.bbibenefits.com) is an employee benefits
planning firm in Andover, Mass. Edholm's benefits blog can be read at
http://bbibenefits.wordpress.com.
Contact Information: Contact:
Henry Stimpson
Stimpson Communications
508-647-0705
Henry@StimpsonCommunications.com
Jim Edholm
Business Benefits Insurance
978-474-4730
jedholm@bbibenefits.com