California 2018 Small Group benefit and rate updates

brokermeeting_jpgSmall Group 2.0 is brought to you by Health Net of California, Inc. and Health Net Life Insurance Company (Health Net).
Small Group 2.0 for 2018 gives you more of what sells with new designs and all-time favorites.

Here’s how we’re making it easy for your clients to renew or buy Health Net for the first time:

  • New HMO Silver $40 plan (without a deductible) available with choice of network: Full Network HMO, WholeCare HMO, SmartCare HMO, or Salud HMO y Más.
  • EnhancedCare PPO brings small businesses in L.A. the ability to offer a PPO at a lower premium, all while giving their employees more point of care choices. For 2018, EnhancedCare PPOs are available both off-exchange and through Covered California for Small Business. Plus, for a number of plan designs, groups can choose the design and then decide whether to offer the Full PPO network or the EnhancedCare PPO tailored network.
  • Full PPO Health Savings Account (HSA) plans renamed High Deductible Health Plans (HDHP). Same benefit design as 2017.
  • Full Network PPO Silver high deductible health plan (HDHP) in all regions and available on- and off-exchange.
  • New CommunityCare Bronze $45 plan for L.A. and Orange counties.
  • PureCare One EPO plans closed effective Jan. 1, 2018. We continue to offer PureCare HSP plans in Platinum, Gold, Silver and Bronze metal levels.
  • Virtual doctor visits via Teladoc for our CommunityCare HMO members and new EnhancedCare PPO plans.

Health Net remains steadfast in bending the cost-of-healthcare curve

First-quarter 2018 will have rate actions of 3.3% for PPO & EnhancedCare PPO plans and -0.2% for HMO & HSP plans.1

Rates  PPO & Enhanced Care PPO   HMO & HSP 
 Q1 2018  3.3% -0.2%

Rate, benefits and ZIP Codes

Enclosed are the premium rates, medical benefits, Plan Packages and ZIP code listing for policies effective Jan. 1, 2018, through March 31, 2018, ACA-compliant plans. Click on the links below to download/view. Note that these rates are pending regulatory approval.
SBG Medical Rates effective Jan. 1, 2018 through March 31, 2018 (New Business and Renewing)
SBG Medical Benefits effective Jan. 1, 2018
SBG Plan Package and ZIP Code Listing effective Jan. 1, 2018
SBG ancillary rates

Federal standard age curve update

HHS ACA-mandated age slope factor will impact the rate for all members under age 21. This will reduce the rate spike from age 20 to 21 in the future, but for 2017 to 2018, members turning age 15 to 21 will have additional rate impacts from +20.5% to +57.5%. Learn more about the new age slope factor.

The possible increase in billable members will impact subscribers with more than three children if one or more of the children turn 21. Each subscriber is only charged for his or her three eldest children under age 21, but is charged for each child age 21 or over.

If you have any questions regarding this announcement, please contact your Health Net Account Executive or Account Manager.

1The above rates represent statewide averages. Actual plan rates vary by rating region.




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Bret Smith