September 8, 2022
The Alaska Division of Insurance (DOI) recently approved our individual and family plan rates for 2023 and is currently reviewing our product filing.
We have a few big changes coming next year, including the introduction of standardized plans on healthcare.gov and the discontinuation of our off-Exchange plans.
Here are the key things to know for 2023:
Introducing Standard Plans
Premera will be offering new standard plans in 2023. These plans are in response to new measures from the Department of Health and Human Services (HHS), through the Centers for Medicare & Medicaid Services (CMS), to strengthen and build on the Affordable
Care Act (ACA).
These standardized plan options will allow consumers to more easily find quality, affordable healthcare coverage on HealthCare.gov that best meets their needs. They include simpler cost-sharing structures, expanded availability of coverage for services
before consumers meet their deductibles, a structure that makes it easier to understand coverage and compare plan attributes, and more.
Starting in 2023, Premera and other plans offering Qualified Health Plans (QHPs) on HealthCare.gov will be required to offer standardized plan options at every metal level (Bronze, Silver, and Gold), and throughout every service area where non-standardized
options are offered. These plans will be differentially displayed on the Federally Facilitated Marketplace (FFM) website on HealthCare.gov, to help consumers make more informed choices about their coverage. Read the full details from CMS.
What this means for your clients: Open enrollment will include a Premera Standard Gold, Standard Silver, and Standard Bronze plan as well as our non-standard metallic offerings on the exchange. Because it is a requirement, this means
the competition will also have Standard Gold, Silver, and Bronze plans with almost identical benefits available on the Exchange, however, the network and rate will be different depending on the health plan carrier. Our standard plans will have the
same network as our non-standard metallic offerings. These plans will be available to view and purchase on November 1 on the Federally Facilitated Marketplace (FFM), along with our typical, non-standard metallic products.
Discontinued Off-Exchange Plans
Effective January 1, 2023, we’re discontinuing our Individual plans that are off the Exchange. As you know, the Federally Facilitated Marketplace (FFM), also known as the Exchange, provides a secure platform for enrollment, the ability to “shop” all carriers
and plans each year, automatic mapping (no disruptions to consumers when plans are discontinued), and offerings of premium savings and cost sharing reductions. In 2021, over 92% of our members purchased a plan through the FFM, and almost 80% use the
reduced premiums that Advanced Premium Tax Credit’s (APTC) offer.
We look forward to working with you in helping members who are currently off-Exchange to purchase an FFM plan for 2023 coverage. The following is further explanation about what that means for your clients and how we’re communicating to them.
(Note: Our understanding is that there will still be other off-Exchange plans available for purchase in 2023 for those who do not want to purchase through the FFM.)
Alaska off-Exchange members can expect the following communications and support from us:
- By early October: Discontinuation notices will be mailed notifying them that their current plan will not be offered in 2023 and that they must take action to have coverage next year. The letter includes a 2023 plan recommendation, although members
can enroll in any metallic Individual plan.
- Late October through December 15, 2022: We’ll send regular communications to members through email, their secure online account, and home mailers. These communications will remind them to take action December 15, 2022 and will outline the steps to
enroll in a new plan for January 2023.
- Our customer service team will be ready to answer questions about what’s changing for 2022 and will encourage off-Exchange members to contact their producer if they need help choosing a new plan for 2023.
We’ll be following up with more details and action that these customers should take in a coming communication. Thank you for joining us in helping our off-Exchange members transition to a new plan for 2023. As always, your Premera individual producer
support team is available to answer any questions.
2023 Plan Overview
Renewing plans: We’re renewing all our metallic plans on the exchange except for the Silver 3000 HSA. Members on the Silver 3000 HSA will be mapped to the Silver 4500. This means your clients on our preferred Individual plans can keep their plan in 2023.
New plans: Premera Standard Gold, Premera Standard Silver, and Premera Standard Bronze. All available on the FFM only.
Discontinued plans: We’re discontinuing all our off-Exchange Individual plans in 2023. This means your clients on these plans must take action to enroll on a new plan for January 1, 2023. The information previously mentioned provides more details. Discontinuation
notices are typically mailed in late September, and renewal notices in mid to late October.
Network
Your clients will once again have access to the Legacy and Dental Select networks for medical and dental services. All plans continue to provide medical transportation benefits to in-network providers in the Seattle area. Your clients should refer to
their benefit booklet for more details.
Rates
Our 2023 rates have been approved by the DOI. On average, monthly rates for Alaska individual plans will increase by 20.2% starting January 1, 2023.
Factors contributing to the rate request include a continued rise in healthcare costs and an increase in claims as members continue to receive services they deferred during the pandemic.
Commission
Commission will continue at the current level in 2023.