Washington—Senator Dianne Feinstein (D-Calif.) issued the following statement on the health insurance premium rate review rule announced by the Department of Health and Human Services:
“The health insurance rate review regulations released by the Department of Health and Human Services will help ensure that insurance companies are held accountable for the dramatic premium rate increases they impose on consumers. The action to review any premium increases above 10% is a major step forward towards a fair insurance marketplace.
“Health insurance companies have reported some of their highest profits in years – some of the biggest companies recorded a net profit of $3.9 billion in the first quarter of 2011 – an average 16 percent increase from the same period the year before.
“At the same time they are hiking rates and enjoying record breaking profits, working families are struggling to make ends meet. These regulations will require insurance companies to justify rate increases that are in the double digits.”