The leading health insurers in Massachusetts said the state overstepped its authority when it rejected their proposed premium increases for policies held by small businesses.

At a hearing Thursday in Suffolk Superior Court, they asked a judge to issue a temporary injunction overruling the rejection. They also asked that the new premiums be put into effect while a trial is held.

An attorney for the six companies said they face "immediate losses that will be destabilizing."

A state attorney said the industry is misreading the rejection and did not seek a required administrative hearing before heading to court.

State regulators rejected the rates after Gov. Deval Patrick said double-digit premium increases were preventing small businesses from adding jobs. The insurers said their premiums can’t be capped without similar limits on their costs.

 

Health Insurers: Mass. Illegally Denied Rate Hike

by Banker & Tradesman time to read: 1 min
0