Some Bay State residents who thought their individual health insurance policies wouldn't be affected by the Affordable Care Act are getting a surprise — their plans are no longer available even in this state that has had minimum standards similar to Obama-care for the past six years.
Obama administration officials have gone from apologizing for the health care website's woes to defending the president's 2009 promise that "if you like your health care plan, you'll be able to keep your health care plan, period," after a wave of cancellation notices started hitting the estimated 14 million people nationwide that buy individual policies. Health and Human Services Secretary Kathleen Sebelius, testifying before Congress yesterday, said insurance companies cancel policies all the time and "they will be offered new plans."
It's unclear how many people who buy individual policies nationwide, and in the Bay State, have to switch plans. Paul Levy, the former president and CEO of Beth Israel Deaconess Medical Center, told the Herald he was re-enrolling in his Blue Cross Blue Shield plan, but found that it will no longer be available, forcing him to choose a new plan.
"It turns out it's more expensive to do so," Levy said, adding that he will likely have to pay $220 more per month for a similar plan.
Sharon Torgerson, a spokeswoman for Blue Cross Blue Shield, said "For the vast majority, the plans that members have today are the plans that members will have in the future."
Insurance plans in Massachusetts are being modified mostly to fit into the four-level tier system implemented as part of Obamacare, said Eric Linzer, senior vice president for the Massachusetts Association of Health Plans.
"There's some technical changes being made to get in line with the Affordable Care Act," said Jason Lefferts, spokesman for the Massachusetts Health Connector.
In addition, 105,000 policyholders who receive subsidies will have to reapply so they can receive subsidies from the federal government, Lefferts said.
Linzer said while some plans could be more expensive, others will be cheaper.
"It's going to vary on a case by case basis," he said.
Levy was quick to point out that he still supports Obama-care, but took issue with the president's promise that people could keep their insurance plans.
"When the administration sold the bill, they said something that was not quite accurate, and now they're getting caught on it," Levy said.
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