Harvard Pilgrim Health Care of Connecticut – Large Group HMO
On September 18, 2018, Harvard Pilgrim Health Care of Connecticut filed a request to increase rates an average of 9.1 percent for large group major medical plans. These are policies for employers with 51 or more workers.
There are 112 people covered under these policies currently in force in Connecticut. This rate will also be applied any new policies sold or renewed after January 1, 2018.
The company stated it requested the increase to account for a 7.2 percent change in the “trend,” a pricing factor reflecting medical inflation and an increased demand for medical services. The pricing also takes into account taxes and fees associated with the federal Affordable Care Act.
After an actuarial review, the Department determined that the company’s overstated the impact of “trend,” finding that a trend factor of 6.2 percent is more appropriate. As a result, the Department disapproved the initial rate increase request, approving a lower average increase of 7.3 percent on December 3, 2018.
The new rates take effect January 1, 2019.