Blues’ 2Q 2013 Small Group Rate Increases Remain In Single Digits

Both BCBSM and BCN continue to see better-than-expected experience, which helps to hold the statewide average increases to the single digits for most areas. These moderate increases continue to help slow the growth of costs for small group employee health care coverage.

Second-quarter BCBSM rates

For second quarter 2013, the average statewide medical and pharmacy composite increase is 8.7 percent. A factor contributing to single digit increases is that the BCBSM drug rate increase continues to be lower than we’ve seen in recent years.

Between reform and non-reform segments, the statewide average increases are:

• Medical rate increases — 9.4 percent for reform groups and 6.9 percent for non-reform groups
• Pharmacy rate increases — 7.2 percent for reform groups and 10.1 percent for non-reform groups

These percentages are averages. Some groups will see higher-than-average increases while other groups will see lower-than-average increases.

NOTE: Greater-than-expected claims experience in Kalamazoo, Grand Rapids and the Upper Peninsula continue to contribute to higher-than-average rate increases for these areas.

Second-quarter BCN rates

For BCN, the news is also positive with moderate inflationary rate increases.

BCBSM and BCN dental and vision rates

Second-quarter 2013 dental and vision rates are also averaging in the single digits with a statewide composite average of 7.5 percent for dental and 5.8 percent for vision.

eQuoting

eQuoting is a component of Blue eSolutions, an online tool that allows you to perform quoting activities 24 hours a day, seven days a week. It’s Web-based and accessible from any computer. To access eQuoting, you must be registered through Agent Secured Services at bcbsm.com.

Rate Ease

Rate Ease is now available for standard plan quoting for 100-plus group customers. Rate sheets have also been updated to include the relative rate levels. Rate grids will no longer be produced for 100-plus groups with standard benefit plans.

Updates to Agent Secured Services allow you to access Rate Ease by clicking on “Quote & Enroll.”

To verify that you’ve received the current update:

• Open Rate Ease.
• Click on Help. (It’s located next to Client Activities.)
• Click About. The revision date will show as “12/12/12”

If you encounter any technical problems when downloading or using Rate Ease, call Help Line at 800-696-4120.

Questions about Rate Ease? Contact rateease@bcbsm.com.

Questions about eQuoting? Contact BlueeSolutionsSupport@bcbsm.com.