On March 1, 2023 Cigna filed a request to increase third and fourth quarter rates for a block of off-exchange small group health plans, policies for employers with 50 or fewer workers. The average increase requested for those that are renewing in Q3 or Q4 versus 2022 rates would be 19.0% and varies by plan from 13.5% to 21.3%. This compares to an approved increase versus 2022 rates of 10.1% with a range of 4.8% to 12.4%, which would result in an additional increase of 8.9%. The rates would take effect in the third quarter of 2023. This change does not impact Q1 2023 or Q2 2023 rates as filed and approved in September 2022.

The total covered lives is approximately 20,163 at the end of 2022.

The company increase request is due to changes in the cost trend estimates for the 2022 experience year and 2023 projection year. These changes were a result of recent updates to reflect emerging 2022 experience and projected trends for provider contracting, higher costs and higher utilization of services.

After Actuarial Review, the Department disapproved the proposed changes and resulting rates on April 17, 2023. The main driver for the disapproval is the 12% cap that the Department required on this block for the increase of 2023 rates over 2022 rates. This cap is still in place. With the changes requested, 2023 proposed rates would have an average increase across all quarters of 17.0%, with a range of 12.2% to 20.0%.

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