Schwarzenegger Seeking Federal Grant To Bolster Premium Rate Reviews
On Wednesday, Gov. Arnold Schwarzenegger (R) announced that California is seeking a federal grant of $1 million to help the state improve its review of health insurance rates, the Los Angeles Times' "Money & Company" reports.
Funding for the grants comes from the federal health reform law, which requires states and the federal government to establish a process for reviewing "unreasonable" rate increases.
The majority of the grant money would pay for actuaries to examine premium increases sought by insurers. The governor also wants to mandate that insurers post planned increases on their websites and on the websites of state regulators.
Some of Schwarzenegger's proposals must be approved by the Legislature, which currently is considering bills that would provide regulators with new authority to reject premium increases.
The federal grant recipients will be announced in August (Helfand, "Money & Company," Los Angeles Times, 7/7).This is part of the California Healthline Daily Edition, a summary of health policy coverage from major news organizations. Sign up for an email subscription.