Consumers Union To Help Review Insurers' Rate Hikes

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The California Department of Managed Health Care has awarded a $225,000 contract to Consumers Union to help DMHC evaluate health insurers' proposed premium rate increases. The contract is funded by the federal health reform law. Although DMHC is not authorized to reject proposed premium rate hikes, legislation (SB 1163) that went into effect in 2011 gives the agency the power to review insurers' proposals and make recommendations.


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