Health Insurance Rate Watch Project

OSPIRG’s Health Insurance Rate Watch Project pushes health insurers to do more to cut waste and focus on prevention before they raise premiums. 

Cutting waste from insurance premiums

Health care still costs more than it should. One study estimates that in 2009, $765 billion, or one-third of all health care spending, was wasted on things that did not make us healthier. [1]  Some of that estimated waste included:

  • Overinflated medical prices: $105 billion in waste. Recently, hospitals have been caught charging outrageous prices, such as $1000 for one toothbrush and $140 for a single Tylenol. [2]
  • Duplicative treatments: $8 billion in waste. This includes the extra costs of having to get the same x-ray or MRI twice because health care is poorly coordinated.
  • Excessive administrative costs and paperwork: $190 billion in waste. 

Far too often, insurers simply pass those costs along to us in the form of higher premiums. 

So OSPIRG pushes back to make sure health insurance companies do more to cut waste before they raise premiums. By carefully scrutinizing rate hike proposals for things like administrative bloat, we’ve already helped cut over 150 million dollars from proposed rate increases in Oregon. [3] Now we want to make sure that insurers do even more to bring down costs: by focusing on keeping patients healthy instead of only paying for treatments once they get sick; actively negotiating for better deals from hospitals; and doing more to cut waste. [4] 

Unfortunately, some health insurance companies are spending millions to maintain their influence in Salem. But when we’ve brought public pressure to bear on unjustified rate increases, we’ve seen results, so join us!

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[1] Institute of Medicine of the National Academies, Feb. 2011, The Healthcare Imperative: Lowering Costs and Improving Outcomes: infographic and report

[2] CNN, March 2010, Prescription for waste: $1000 toothbrush. See also New York Times, Dec. 2013, As Hospital Prices Soar, a Stitch Tops $500.

[3] OSPIRG Foundation, July 2013, Accountability in Action.

[4] See here for an example of a clinic in Oregon that is doing this the right way.

Learn more about Oregon's health insurance rate review process and sign up to get notified about major rate proposals at the Oregon Insurance Division's consumer-friendly website, www.oregonhealthrates.org

Issue updates

Report | OSPIRG Foundation | Health Care

Comment on Providence Health Plan's Proposed Individual Health Insurance Rates

Providence Health Plan has proposed premium rates for its individual and family plans for 2014. The insurer initially filed for significantly higher rates than Oregon’s other top insurance companies,   but then proposed lowering the rates. Doing so would bring the rates in line with those of competing insurers. OSPIRG Foundation's analysis of Providence's initial filing and the supplemental information provided raises some concerns about the insurer's proposal and its justification.

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Report | OSPIRG Foundation | Health Care

Comment on Kaiser Foundation Health Plan's Proposed Individual Health Insurance Rates

Kaiser Foundation Health Plan of the Northwest has proposed premium rates for its individual and family plans for 2014. Since its initial rate filing, the insurer has submitted a proposal to reduce those rates. OSPIRG Foundation's analysis of Kaiser’s initial filing and the supplemental information provided raises some concerns about the insurer's proposal and its justification.

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Report | OSPIRG Foundation | Health Care

Comment on BridgeSpan Health Company's Proposed Individual Health Insurance Rates

BridgeSpan Health Company—a new health insurer affiliated with Regence BlueCross BlueShield of Oregon through a parent company, Cambia Health Solutions—has proposed premium rates for its individual and family plans for 2014. OSPIRG Foundation's analysis raises questions about the insurer's justification for the proposal, and about BridgeSpan's efforts to reduce costs by cutting waste and focusing on prevention.

> Keep Reading
Report | OSPIRG Foundation | Health Care

Comments on LifeWise Health Plan's Proposal for Individual Health Insurance Rates

LifeWise Health Plan of Oregon has proposed premium rates for its individual and family plans for 2014. After careful analysis of LifeWise’s initial filing and the supplemental information provided, OSPIRG Foundation's analysis questions whether the insurer has provided sufficient information to evaluate the justification for their proposed rate.

> Keep Reading
Report | OSPIRG Foundation | Health Care

Comment on Moda Health Plan's Proposed Individual Health Insurance Rates

 

Moda Health Plan—formerly known as ODS Health Plan—has proposed premium rates for its individual and family plans for 2014. Moda’s proposed rates are the lowest filed for an insurer in Oregon’s Individual market. While Moda’s product is inexpensive relative to the competition, it remains critical to examine the justification for their rate.

 

> Keep Reading

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News Release | OSPIRG Foundation | Health Care

Analysis of Proposed 9.94% ODS Health Plan Rate Hike

ODS Health Plan will defend its proposal to raise rates nearly 10% on over 26,000 Oregonians at a public hearing today in Salem. The increase comes after two back-to-back years of increases exceeding 17%. If approved, the average rate will have soared 52% for individual policyholders over the last three years.

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Media Hit | Health Care

Testing a new reflex on health care

Earlier this year, Regence BlueCross BlueShield of Oregon found itself under a powerful spotlight. At a public hearing -- the first such hearing in more than two decades -- Regence had to justify its 22.1 percent rate increase request to state regulators, as well as to the more than 150 Oregonians in attendance.

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Media Hit | Health Care

Does Your State Even Care What You Pay for Health Insurance?

After watching health insurance rates balloon in the last several years, you might wonder who has the consumer's back. States are largely responsible for overseeing how much health insurance companies charge for coverage, but they're all over the map in terms of how hard they scrutinize proposed premiums.

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Media Hit | Health Care

Health insurance premiums

Oregon health insurers are having a harder time raising premiums now than they have in the past.

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Media Hit | Health Care

An insurance regulator's 'aha' moment

Teresa Miller was dubious. What value could a public hearing add to the state of Oregon's highly technical review of a Regence BlueCross BlueShield of Oregon's rate increase request?

> Keep Reading

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