The Green Mountain Care Board has approved two -digit increases at the bonus rates that the largest health insurance supplier in the Vermont can invoice large employers next year.
The main regulator of Vermont health care will allow Blue Cross Blue Shield of Vermont to increase the cost of health insurance premiums for Vermont employers with more than 100 employees by an average of 13.7% in 2026, according to a press release from the Green Mountain Care Board. The increase in rates is expected to affect just under 5,000 people in the state.
The increase in approved rates for the same plan of plan for 2025 was 8.4% on average.
“We are committed to ensuring that health insurance rates are as affordable and equitable for Vermonters as possible while balancing the need for solvency and access to care,” said Owen Foster, president of the Green Mountain Care Board, in the press release.
Blue Cross Blue Shield from Vermont is confronted Important financial challenges caused by an increase in the cost of health care allegations in recent years. In response, Blue Cross Blue Shield and the other major state insurer, MVP, have both increased rates considerably, making health insurance costs in Vermont among the highest in the country.
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Foster pointed out The results of a study Done last year by the national council company Oliver Wyman as proof of the need for a major restructuring in the Vermont health care system in order to control costs.
“As indicated in Oliver Wyman’s report, the Vermont health system requires significant transformation to fill the gaps in care, ensure the sustainability of suppliers and protect vermonters against excessive health costs.”
The increase in rates approved by the Green Mountain Care Board represents a reduction compared to the increase in the first of 17.3% that Blue Cross Blue Shield Vermont had initially requested for next year.
The reduction in this increase was possible due to the recent efforts of the board of directors and legislators to repress the prices of hospital services and certain prescription drugs, said the regulator.
According to the press release, most of the reduction is due to the passage of H.266, a law which caps the price that hospitals can charge to insurers Like Blue Cross Blue Shield from Vermont for ambulatory pharmaceutical products. In the testimony to the legislators this year, a spokesman for the non-profit insurer has provided that the ceiling would contribute to a reduction between three and four percentage points on bonuses increases for next year.
The increase in pricing also reflects the measures to apply Green Mountain Care Board against the Medical Center of the University of Vermont and the Rutland Regional MEDICAL Center linked to their earnings From 2023, as well as the advice that the regulator set for all hospitals in the state when they built their 2026 budgets.
The decision comes while Blue Cross Blue Shield Vermont is waiting for the increase in rates in 2026 for other plans sold on the affordable state -affordable care law. Last month, the insurance company asked regulators to approve an average increase in rates of approximately 19.8% for individual plans and 22.8% for small groups.
This decision suggests that the Green Mountain Care Board can also reduce these premium rate requests in a similar way.