Underwriting rejection

Q. I have a plan for my family with a major carrier and my rates have almost doubled in the last 30 months. I tried to get an HSA but was rejected. Why are my rates going up so much? What can I do about getting an HSA?

A. There are many reasons why your rates could double in that period of time but first you need to know that doubling in less than 3 years is not the norm.

The plan you have is old and most likely that block is deteriorating for the carrier. To compensate they raise rates dramatically in hopes of moving folks off that plan an on to something else. During the last 3 years you, and then your wife, moved into higher age brackets triggering another rate increase. Your children also aged beyond 18 triggering another jump.

All these things combined make the rate increases more dramatic than they would have been under normal circumstances.

As for the HSA rejection, you were turned down by a carrier for health insurance, not by a bank for the HSA. For reasons you have not yet shared, your health is creating an obstacle in moving to a different plan with the same or different carrier. Just because you have health issues does not mean the rest of your family cannot move on to another plan.

Your attempts to handle matters by yourself have resulted in frustration and rejection. What you really need is the counsel of an agent who understands the market and can point you in the right direction. Before you do any of that, you need to provide more details about any health issues that may or may not continue to be a stumbling block

This entry was posted on January 7, 2007 at 5:46 pm and is filed under Uncategorized. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response or trackback from your own site.

| Print