Anthem re-enters 42 markets in Virginia’s Affordable Care Act exchange, including Hampton Roads

Virginian-Pilot (Norfolk, VA)

Aug. 14--Anthem will be re-entering the individual insurance marketplace in Hampton Roads in 2019, bringing fresh competition to the region.

Anthem HealthKeepers notified the State Corporation Commission late Friday that it intends to re-enter the individual market in 42 localities, after a sharp retreat from the 2018 market that left many regions with only one carrier.

In Hampton Roads, Optima was the only option in the individual Affordable Care Act marketplace in 2018. Premiums increased from the previous year by a state average of 81 percent, with an average monthly premium of $889.78. People who qualified for tax credits and subsidies were protected somewhat from those increases, but those who did not experienced sharp increases.

In particular, the Charlottesville area experienced some of the highest increases in the country, leading a group of consumers to organize Charlottesville for Reasonable Health Insurance to fight the high rates.

Optima has reported to the SCC it will reduce average rates for next year by 7.9 percent. Anthem is reporting an average rate increase of 3.2 percent for 2019, which is more moderate than most other carriers in the state.

Optima Health released this statement in regard to Anthem's expansion to more localities next year:

"In the face of significant uncertainty last year Optima Health stood by the consumers needing individual plans in several markets, including Charlottesville, when Anthem chose to abandon them. Our decision to return to the Charlottesville area in 2018 gave more than 5,000 people who receive subsidies an affordable option when they otherwise would have had no access to insurance. That said, choice is good for consumers and we look forward to competing with Anthem again. We are still in the process of finalizing our individual rates for 2019 over the next couple of weeks."

A spokeswoman noted that Optima is working with state insurance officials to see if they can decrease rates further.

The commission has until Aug. 22 to review health plans that will be offered next year and report to the federal Centers for Medicare and Medicaid Services.

Anthem currently offers ACA plans in 68 Virginia cities and counties, so the carrier will be offering plans in a total of 110 cities and counties next year.

When Anthem announced last year its withdrawal from some localities, the company cited the uncertainty of federal "cost-sharing reductions," which help customers of modest incomes pay for insurance.

According to a statement sent by Anthem public spokesman Scott Golden on Tuesday, Anthem made the decision to expand coverage, "after a thoughtful review of the stability in the marketplace in Virginia."

These are the localities Anthem is re-entering: Albemarle County, Amherst County, Appomattox County, Bedford County, city of Bedfore, Buckingham County, Campbell County, Charlotte County, Charlottesville, Chesapeake, Cumberland County, Danville, Fluvanna County, Fredericksburg, Gloucester County, Greene County, Halifax County, Hampton, Harrisonburg, Isle of Wight County, James City County, King George County, Louisa County, Lunenburg County, Lynchburg, Mathews County, Mecklenburg County, Nelson County, Newport News, Norfolk, Nottoway County, Pittsylvania County, Poquoson, Portsmouth, Prince Edward County, Rockingham County, Spotsylvania County, Suffolk, Surry County, Virginia Beach, Williamsburg and York County.