BURLINGTON, Vt. (WCAX) – Health insurance rates are on the rise for thousands of Vermonters after state regulators earlier this week approved a rate hike for the state’s two major carriers. Officials say the double-digit increase should be a wake-up call for fundamental reforms in the health care system.
“It just really is impossible to try to get ahead and also take care of yourself when you can’t help that you get sick with something,” said Amy Morse of Milton, who in recent years sought treatment for Lyme disease and discovered some of the costs weren’t covered by insurance. “Even though I have really great insurance through my employer, I still had to incur $16-to-18,000 of medical treatment out-of-pocket that wasn’t covered by insurance. And it was just simple things as antibiotics that were a couple thousand a month.”
Morse wasn’t not alone. Fred Leswing had a similar bout with Lyme disease, paying for thousands of dollars worth of drugs that weren’t covered. “I just couldn’t believe it. I couldn’t imagine how someone who didn’t have the money could afford that. But they’re necessary drugs and they make it so expensive that it just drains your finances,” he said.
The Green Mountain Care Board on Tuesday announced another round of significant increases to those with Blue Cross Blue Shield of Vermont and MVP Health Care. For small groups under Blue Cross Blue Shield of Vermont, there will be an increase of almost 23 percent, and around 11 percent for MVP. For individuals under BCBS, the increase rings in at almost 20 percent, and around 14 percent for MVP.
“It’s going to strain every Vermont family. There aren’t many Vermont families that can pay what we already have to pay in health care insurance, and you tack on that 20 percent increase and I think it will strain nearly every Vermont family that I’ve ever met,” said GMCB Chair Owen Foster.
He says companies like Blue Cross are already struggling to pay claims and that the increases are a reflection of the increasing cost of health care, an issue that must be addressed. “As we are aging and unable to provide sufficient housing, it will increase care costs significantly. So, we need to make some fundamental system wide changes if we want to tackle this problem,” Foster said.