WellPoint Responds to Rate Criticism, But Sebelius Is Skeptical

by Astrid Fiano, DOTmed News Writer | February 12, 2010

House Subcommittee to Investigate

Meanwhile Congress is weighing in with hearings on the matter.

We repair MRI Coils, RF amplifiers, Gradient Amplifiers and Injectors.

MIT labs, experts in Multi-Vendor component level repair of: MRI Coils, RF amplifiers, Gradient Amplifiers Contrast Media Injectors. System repairs, sub-assembly repairs, component level repairs, refurbish/calibrate. info@mitlabsusa.com/+1 (305) 470-8013

House Committee on Energy and Commerce Chair Henry A. Waxman (D-CA) and Subcommittee on Oversight and Investigation Chair Bart Stupak (D-MI) have announced that the Subcommittee will hold a hearing February 24 concerning the news of the premium rate increase in the California individual health insurance market.

Chairman Waxman and Subcommittee Chairman Stupak sent a letter to Angela Braly, President and CEO of WellPoint, requesting her testimony at the hearing as well as information and documentation from the company regarding the rate increases. According to the letter, the requested documentation includes all communications to or from senior corporate management relating to the decision to increase the rates; a detailed explanation of reasons for the increase; and a table listing 2005-2008 premium revenue, claims payments, sales expenses, other general/administrative expenses, and profits for individual health insurance products, along with the methodology for these calculations. The information is requested by February 19.

Read the details:

The WellPoint letter: http://www.wellpoint.com/pdf/SebeliusLetter02112010.pdf

Secretary Sebelius' statement: http://www.hhs.gov/news/press/2010pres/02/20100211a.html

Link to the Chairs' letter: http://energycommerce.house.gov/index.php?option=com_content&view=article&id=1892:energy-a-commerce-subcommittee-to-hold-hearing-on-anthem-blue-cross-premium-hike&catid=122:media-advisories&Itemid=55

Back to HCB News