COVID Impact, Rate Hikes in Exchanges Could Be Modest

Now that actuaries have more information about how COVID-19 affects health care spending, individual market insurers are more likely to include adjustments in their 2022 rates to account for the pandemic, concludes a new issue brief from the American Academy of Actuaries. However, “those impacts are not expected to be material,” the brief says, perhaps conflicting with the gloomy view of the pandemic’s trajectory that is dominating media reports.

Academy Senior Fellow Cori Uccello explains that while more information is now known about how the pandemic has affected health care spending and utilization since early 2020, “just because COVID may have had a big impact in 2020 and 2021 doesn’t necessarily mean it’s going to have a big impact on 2022.”

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Leslie Small

Leslie Small

Leslie has been working in journalism since 2009 and reporting on the health care industry since 2014. She has covered the many ups and downs of the Affordable Care Act exchanges, the failed health insurer mega-mergers, and hundreds of other storylines spanning subjects such as Medicaid managed care, Medicare Advantage, employer-sponsored insurance, and prescription drug coverage. As the managing editor of Health Plan Weekly and Radar on Drug Benefits, she writes and edits for both publications while overseeing a small team of reporters who also focus on the managed care sector. Before joining AIS Health, she was a senior editor for the e-newsletter Fierce Health Payer, and she started her career as a copy editor at multiple local newspapers. She graduated with a dual degree in journalism and political science from Penn State University.

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