California PCIP Rates Just Cut!
California just got permission from the federal government to reduce the rates on the Pre-Existing Condition Insurance Plan California (PCIP California) by up to 24%. This program, which the federal government pays most of the cost for, was formed as part of the Affordable Care Act last year, and is intended to serve people that have been declined for regular health insurance because of medical conditions. This “hidden” plan provides a safety net insurance plan for the uninsured.
October 1st is when the rate reductions will take effect. The purpose of these rate cuts is to get more uninsured people to enroll in the plan. The state of California currently has about 3500 subscribers, and each will see their monthly costs go down by 8% to 24%, depending on where they live and their age.
A recent 24 year old PCIP California enrollee of mine, Darren, will get a premium savings of 17.6%, bringing his monthly cost down from $181 to $149. Darren’s PCIP plan gives him a $1500 deductible, $25 office visit copays, and a maximum out of pocket of $2500 in his PCIP PPO plan.
For uninsured people, the California PCIP is a good option because it provides a rich set of benefits at a price point below what the major insurance companies would charge for a plan with these benefits.
Women that are pregnant and don’t have maternity health insurance will find the pre-existing condition insurance plan a life saver. When I compare all the costs associated with prenatal care and delivery between all the California maternity health insurance plans, the PCIP California plan is the 3rd best option behind a couple of plans from Kaiser Permanente. The PCIP easily beats the best plans from Anthem Blue Cross, Health Net, and Blue Shield of California.
See the California Pre-Existing Condition Insurance Plan page for more details about the plan, pricing, and how to sign up.
Get all the details about PCIP California Plans. Info on California Maternity Health Insurance for pregnant women.