New York City Health Insurance Is More Expensive

In the New York Post, Brendan Scott reported on shocking findings that New York City health insurance premiums have seen a significant increase over the past year, while many New Yorkers are already struggling economically. Here are some sobering statistics:

• From April 2008 to April 2009, the average monthly health insurance premium for a family has risen from $3,866 to $4,354; a 13% increase.
• Six out of the eight health insurers in the NYC area have increased their rates, including Aetna, Atlantis Health Plan, and Oxford Health Plans, Brendan says.
• Insurance companies blame the rate increases on an exodus of healthy policyholders leaving them with only the sickest (and costliest) patients, in addition to the state’s co-payment structure and high mandated coverage minimums.

On the bright side, Empire HealthChoice HMO actually decreased its premiums. Not to mention that patients who remained in-network for their health care pay less: a family who agreed to stick to in-network providers paid just $2,996 per month on average. That’s still a 12% increase over last year, but a significant savings nonetheless.