ALERT FOR THE WEEK OF OCTOBER 24, 2016

This week's Alert covers the following topics:

ACA Individual Market Commission Changes
Insurance Department Announces 2017 ACA Rates

ACA INDIVIDUAL MARKET COMMISSION CHANGES

Since the implementation of the Affordable Care Act (ACA) in 2014, high claims experience and unsustainable financial losses have required Highmark to periodically make changes to how we participate in the ACA individual market. These changes are often difficult, as we recognize the impact that they can have on the producer community.

While we have seen signs of improved performance as a result of our efforts to date, claims experience continues to be higher than expected and the market is not yet sustainable. As a result, Highmark is making a number of changes for 2017, including adjustments to plan offerings, premium levels and commissions. Effective with January 1, 2017, renewals and new sales, Highmark will not pay commissions ($0) in Western and Central Pennsylvania, across all entities in the ACA individual market.

We do not take these decisions lightly and understand the impact that they may have on our stakeholders - including the producer community. But, we believe that they are necessary to achieving our goal of ensuring a sustainable ACA individual market that will continue to provide access and options to our members in the future.

Please do not hesitate to contact your Highmark individual sales channel consultant with any questions.

Best regards,

Alexis Miller

Senior Vice President, Government Markets

INSURANCE DEPARTMENT ANNOUNCES 2017 AFFORDABLE CARE ACT RATES

The insurance commissioner announced the 2017 rates for individual and small group health plans offered in Pennsylvania under the Affordable Care Act (ACA). To view the rates, click here.

Click here to view the press release.

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