Oregon Public Broadcasting

Large rate hikes went into effect Tuesday for individuals and small businesses covered by Oregon’s largest health insurance provider. 

A coalition of health reform advocates rallied outside the Portland offices of Regence Blue Cross Blue Shield to bring attention to the rate increases.  The changes could raise individuals’ healthcare costs by anywhere from $2000 to $4000.

Maribeth Healey is the Executive Director of Oregonians for Health Security. She says Regence isn’t the only company with rising rates.

Maribeth Healey: “It’s indicative, and that’s again why we’re here.  It’s not necessarily, you know, Regence is the only bad actor in this, right?  It’s, this is indicative of a larger problem of why we need health care reform in our state and of course in our country.”

Samantha Meese is a spokesperson for Regence.  She says spiking medical costs have caused the not-for-profit organization to raise its premiums.

Samantha Meese: “Certainly we understand the strain that this increase puts on our members’ finances as we look at a culture where we have rising gas prices and food prices and mortgage crises and those sorts of things, and we are very unhappy about having to raise the premiums so significantly, but again you know as painful as it is, the fact is that health care just simply costs too much."

Advocates report Regence is simply the first example in a troubling trend of climbing insurance rates.  Lifewise, Healthnet, and United Healthcare have also proposed hefty rate increases.

A study released in 2006 showed Oregonian’s health premiums are rising almost 6 times as fast as their salaries.

Advocates called on Oregon’s Health Fund Board to get at the root issue--containing the rising costs of health insurance.

Laura Etherton is with Oregon’s Public Interest Research Group.

Etherton: “Oregonians need government to actually act as a very strong force for accountability, to really watchdog these rates.  To what extent are these rates necessary?”

Regence says it is already working closely with the Health Fund Board.