Department of Insurance Announces Health Insurance Rates for 2023; Highlights more diet options and the law’s positive impact on reducing inflation
Harrisburg, Pennsylvania – Acting Insurance Commissioner Michael Humphreys today announced Pennsylvania’s Individual and Small Group Affordable Care Act (ACA) health insurance rates for 2023, highlighting increased market competition for several counties and how the Inflation Reduction and Subsidy Extension Act contributed to lower fares. Pennsylvanians can expect more options and greater competition when shopping for health insurance plans for 2023.
This marks the fifth year that Pennsylvania has experienced increased competition, demonstrating Pennsylvania’s efforts to stabilize and improve accessibility in this market.
Based on products now approved by the Department of Insurance, all insurers currently offering individual market coverage in Pennsylvania’s 67 counties will continue to offer plans in 2023 with an average increase of 5.5% nationwide. the state. The Commonwealth will see an average increase of 5.3% in the small group market.
One of the main factors that drove rates down was adjustments to the government reinsurance program. The Cut Inflation Act and extension of subsidies beyond 2023 gave the department an opportunity to increase coinsurance from 40 to 53 percent.
“The signing of the Inflation Reduction Act (IRA) in August 2022 extended the enhanced premium tax credits that were previously provided through the US bailout,” Humphreys said. “These credits have reduced, and in some cases eliminated, health insurance premiums for thousands of low- and middle-income families signed up for health coverage through Pennie®, and will now continue to do so through 2025 thanks to the ‘IRA.’
One of the department’s top priorities has always been to increase competition within counties, which ultimately provides more options for consumers looking for comprehensive health insurance plans with strong benefits.
With more than 338,000 Pennsylvanians enrolled through Pennie – Pennsylvania’s state health insurance marketplace – and nine out of 10 consumers eligible for financial assistance, it is of the utmost importance that the department continues to educate individuals on how to protect themselves and their families.
“This open enrollment, we are excited to be able to connect customers with the enhanced premium savings provided by the Cut Inflation Act. This year, we will focus on reducing the number of uninsured Pennsylvanians through outreach historically marginalized communities and providing a choice of quality, affordable health coverage options,” noted Pennie’s Executive Director, Zachary Sherman. “Pennie’s open enrollment period begins November 1 and we strongly encourage those who are looking for health insurance to visit pennie.com to calculate their potential savings, check out their coverage options and sign up for the best plan for them, their families and their budget.”
Pennie is the only place that connects Pennsylvanians to financial help to reduce the cost of coverage and care. Pennie’s goal is to make it easier for Pennsylvanians to access coverage through education, support and improved customer service.
Open enrollment begins Nov. 1 for coverage beginning Jan. 1, 2023. Pennsylvanians should remember that Pennie remains available to anyone facing an eligible life event, such as moving to a new part of town. Pennsylvania or loss of coverage from another source.
“The Wolf administration has remained dedicated to the health, well-being, and financial security of all Pennsylvanians and has taken a variety of avenues to educate consumers about the importance of health insurance before, during, and after COVID- 19,” Humphreys said. “Governor Wolf and I know that Pennsylvanians want and deserve equal access to health care coverage, including increased options in the individual market.”
The Department of Insurance and Pennie urge Pennsylvanians to seek out the best plan to meet their individual, family, and financial needs, even if they are currently enrolled in a health insurance plan through Pennie.
Pennsylvanians can begin purchasing health and dental coverage during Pennie’s open enrollment period, November 1, 2022 through January 15, 2023.
Consumers who want to learn more about health insurance should visit the department’s dedicated health insurance page. To learn more about Pennie, visit Pennie 101.
Pennsylvanians with insurance questions can contact the Department of Insurance’s Consumer Services Office online or at 1-877-881-6388.