Updated June 3, 2011
June 2, 2011 (Sacramento) – Car insurance and homeowner insurance companies have long been required to get state approval before raising rates. But not health insurers. Some have hiked up rates multiple times a year; Blue Cross sought to jack up rates 59% with three increases in six months.
Gouging consumers with unjustifiable rate hikes will no longer be allowed if AB 52 becomes law. The bill would require health insurers to provide justification and get permission from state regulators before imposing increased costs for health care premiums, copayments, or deductibles on consumers.