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Insurers skeptical of Obama offer on cancellations

| November 14, 2013 | 0 Comments
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WASHINGTON (AP) – State insurance commissioners are voicing serious concerns about President Barack Obama’s plan to stave off cancellations for people whose individual policies don’t comply with the new health care law.

In a statement Thursday, the National Association of Insurance Commissioners warned that the president’s decision could undermine the new insurance markets being created under his overhaul law.

Louisiana Insurance Commissioner Jim Donelon, president of the group, said Obama’s proposal could lead to higher premiums and market disruptions next year and beyond. It may also be unworkable as a practical matter.

A Republican, Donelon was speaking on behalf of the organization.

The health insurance industry’s main trade group has made a similar statement. America’s Health Insurance Plans says member companies have already set premiums for next year based on the assumption that many people with current individual coverage will shift into the new markets created under the health care law.

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