Many Boston small business employees will experience significant health insurance rate increases, according to Boston Business Journal.
Here are five insights:
1. About 18,000 small business employees will witness double-digit increases.
2. These consumers will see a 31 percent increase at Harvard Pilgrim Health Care Insurance Company, a 16.9 percent increase at Connecticare and an 11.3 percent increase at Neighborhood Health Plan, to name a few.
3. Many of these increases are a result of risk adjustment, which moves funding from payers with healthy members to those with unhealthy members.
4. Many premiums have skyrocketed due to this funding redistribution.
5. In the first quarter of 2016, insurance rates increased 6.3 percent for businesses with 50 or fewer employees. In the second quarter, the rate increased 7 percent.