Captain Health USA

Making Health Insurance Great Again!

Open Enrollment

Facebook Profile PicturesWe are fast approaching healthcare open enrollment and I wanted to share some important information with you and also clear up some things that the media is sensationalizing.

I’ll address three areas today….

  1. Annual premium increases
  2. Some letters you will be getting
  3. Expiration dates

Annual Premium Increases

If you haven’t heard already, you will soon….the media is reporting on ridiculously large premium increases being asked for by the insurance companies. While this is true, there is another part of the story.  The way it works is this…..The insurance companies file for a rate increase with the state.  The state reviews it, rejects it, and then they negotiate.  So as an example, you might hear that an insurance company is asking for a 30% rate increase.  After the state and the company negotiate, it ends up being 8-12%.

Since subsidies are going up, this should help offset the cost increase for most of you.

Letters you will be getting

Ok, here is the crazy part…..the law says that the insurance companies must send you a letter in October telling you what the new rate will be for next year.  HOWEVER, that letter has your subsidy from LAST year on it and not the new increased subsidy for next year.  That makes no sense.  Told you it was crazy.


THEN, in November, when the Government calculates the new subsidies, you will get another letter with the rate for next year along with the subsidy for next year (matches new rate with new subsidy). This second letter will give you your true cost for next year.

Ok, you ask, why can’t they just send one letter with the correct information on it?  I wish I knew!  I have complained about it and they just tell me that the law says they have to send out the October letters but the Government does not have to calculate the new subsidies until November.

They will be using your 2014 tax return to update the subsidies.

Expiration Date

This is an easy one. All policies expire on December 31st of each year but auto renew on January 1st.  So, don’t be alarmed if you hear in the media that the policy expires.  It will auto renew.  The only exception is anyone who is currently with Assurant.  Assurant is leaving the business so we need to talk to get you on another plan.

Please reach out to me to schedule an appointment if ….
  1. If you have had any change in income or any other change in the family it’s important that we talk in November to update your information.  For example if your 2014 tax return is much higher or lower then that your real income is going to be in 2016 then we need to make an update.
  2. If you wish to change insurance companies or plans for 2016.

I hope this helps clear up a few things and as always please reach out to me anytime if you have questions or concerns.

Oh, one more thing…..If you could “like” my Facebook page I’d really appreciate it…. The page is …”Your Obamacare Guy”.  Click HERE to visit it.

Have a great weekend,