The Roundhouse in Santa Fe (Photo by Heath Haussamen)
Like thousands of other New Mexico residents and small business owners, I have been struggling to keep up with rising insurance rates. Last year my small business and many others got hit yet again with a big rate increase – Blue Cross Blue Shield raised our rates by more than 20 percent, following yet another large increase earlier in 2010.
Small business owners like myself are struggling to maintain coverage. However, we are completely at the mercy of insurance companies that face little accountability when it comes to setting premiums. We need a more fair and transparent system of reviewing rate increase requests.
It is only reasonable that companies providing an essential public service like health insurance be required to clearly demonstrate the reasoning and numbers behind any rate increases. Indeed, if legitimate need is not demonstrated, they should be required to lower their rates.
Currently, there is little the state can do to challenge skyrocketing rates. If insurance costs keep going up, more and more New Mexicans will become uninsured and the sustainability of local small businesses will continue to be compromised.
Today, members of the Legislative Senate Judiciary Committee have a clear choice as they hear Senate Bill 208. Members can vote in favor of transparency and a more fair system of health insurance review by supporting SB 208. Or… the alternative?
Legislators from across the political spectrum agree – insurers should be required to open their books and demonstrate that premium increases are justified. This requirement is laid out in Senate Bill 208.
It’s time to protect small businesses and insurance payees from the current lack of transparency and unfair health insurance rate increases.
Huberman is the owner of Comet Electric & Building Company in Santa Fe.