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Thursday, April 7, 2011


DMHC asks Anthem Blue Cross to explain why rate increases for approximately 120,000 enrollees in individual coverage policies are justified

(Sacramento) – The California Department of Managed Health Care (DMHC) has sent a letter to Anthem Blue Cross asking the plan to explain why it is moving forward with a May 1 rate increase for individual PPO products under the jurisdiction of the DMHC when rates for comparable benefit level products under the jurisdiction of the California Department of Insurance were recently decreased. The following statement was also released:

“The DMHC has discovered that rates for comparable PPO products filed with the DMHC are 3 to 4 percent higher,” said Lynne Randolph, spokesperson for the DMHC. “This is unfair to consumers and we are asking the plan to explain why these rates are not unreasonable or unjustified under the new law allowing regulators to review and comment on rate increases.” A copy of the letter is attached.

Letter to Anthem Blue Cross

Click to View PDF Version