Friday, January 08, 2010

New Report: Green Bay & Fox Valley have had highest health insurance inflation this decade

New Wisconsin Health Insurance Cost Ranking Finds Disparities on Cost, Inflation, and Quality;
Green Bay and Fox Valley have had highest health insurance inflation this decade

Milwaukee: Citizen Action of Wisconsin recently released the 4th Annual Wisconsin Health Insurance Cost Ranking report on a state-wide media call. On the call to comment on the report were Congressman Ron Kind, State Senator Kathleen Vinehout, State Representative Donna Seidel, and State Representative Jon Richards.

This year’s report finds wide disparities between higher cost and lower cost cities and regions of Wisconsin, as well as large differences in the rate of health insurance inflation. The report also finds disparities in health insurance quality. Although some areas of Wisconsin have relatively higher costs than others, the report finds that every region of the state has suffered higher health insurance hyperinflation than the national average.

This year’s report finds that Green Bay has had an astounding 290% increase in health insurance premiums since 2000, the highest in the state. Appleton and Oshkosh were tied for second in health insurance hyperinflation, with a 192% increase.

The full report, which includes 9 charts ranking the cities and regions of Wisconsin on health insurance costs, rate of inflation, and quality, can be downloaded at http://www.citizenactionwi.org/.

“The striking numbers in this report bring down to the regional and local level the huge economic price we are paying for health insurance hyperinflation in Wisconsin,” said Robert Kraig, the report author and the Executive Director of Citizen Action of Wisconsin. “It also shows that every Wisconsin community has a huge stake in the outcome of the health care debate now taking place in Congress.”

“This report shows that health care costs are much too expensive in Wisconsin, and that they are going up way to fast,” said Congressman Ron Kind (D-La Crosse). “This report is a call to action because it shows that the status quo is not an option.” Congressman Kind explained further that reform of the payment system to encourage value instead of volume is the only way to bring health insurance costs under control while preserving the high quality of care that exists in most parts of Wisconsin. Kind has been a leading champion of the payment system reforms contained in the health care reform bill that passed the House of Representatives this fall.

Key Wisconsin Health Insurance Cost Ranking 2010 Findings

1. There is a 19% variation between the highest cost major metro areas and the lowest cost metro area, which amounts to a $1,608 difference for a single policy each year.

2. The highest cost metro areas are Wausau, Stevens Point, Wisconsin Rapids, Kenosha, La Crosse, and Eau Claire. Madison remains the lowest cost metro area, although its rate of inflation was high this year.

3. Wisconsin health insurance costs continued their rapid rise in 2009, rising 9% overall despite a very slow rate of general inflation for other consumer products. There was also a large gap in the rate of health care inflation between different parts of the state, with some areas increasing by 11% over the past year while others increased only 3%

4. Green Bay and the Fox Valley have suffered the highest rates of health insurance inflation over the last decade.

5. All Wisconsin regions and metro areas have suffered health insurance inflation above the national average. While national employer-based single health insurance premiums have increased 120% this decade, they have increased 179% in Wisconsin.

6. The report finds that the national for-profit insurance companies offer the lowest quality health plans, as measured by performance measures and consumer satisfaction. Southeastern Wisconsin has among the highest health insurance costs, but the lowest quality health plans because of the predominance of the national for-profit companies in the region.

Additional data and 9 ranking charts are available in the full report at http://www.citizenactionwi.org/.

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