Blue Cross – Blue Shield Nebraska will allow policy holders to keep the plans previously canceled by the federal health insurance law.
Nebraska’s largest health insurance provider has announced the policy change after President Barack Obama announced a change in federal policy. The Affordable Care Act requires health insurance policies to cover ten essential services. If policies don’t cover them, they don’t comply with the new law.
The president announced the change after consumers complained about their policies being canceled.
Blue Cross – Blue Shield Nebraska sent cancellation notices to 46,000 policy holders for policies that covered 88,000 Nebraskans. After the president’s reversal, the company offered to extend the old policies for another year.
“If they elect to keep their current coverage with us, their existing coverage will remain in force continuous throughout next year so they will not have their coverage terminated,” Director of Product Development Tom Gilsdorf says.
Jerry Byers, Senior Vice President of Finance, says the company is in the process of informing those who were notified their policy was terminated because it didn’t meet the guidelines for the Affordable Care Act.
However, rates will likely be higher than the current 2013 rates.
Byers says policy holders who decide to extend their current coverage will not qualify for tax credits to offset the cost. He says those who want to take advantage of that need to select a plan that meets the qualifications of the Affordable Care Act and it must be purchased through the health care exchange.