HMSA To Hike Small Business Health Premiums 8.5%

File photo.

By Sonia Isotov

The Hawaii Medical Service Association, the largest health insurance carrier in the state, is seeking state Insurance Division approval to increase small business healthcare premiums by as much as 8.5%, the Honolulu Star-Advertiser reported today.

Citing anticipated increases in costs due to the Patient Protection and Affordable Care Act, commonly called Obamacare, HMSA is asking that the increase go into effect July 1, 2013. According to the newspaper, this is apparently the largest increase in small business premiums in four years.

This rate reportedly could affect as many as 8,800 small businesses statewide and include some 81,000 individuals.

The Insurance Division must approve the rate increase before it can go into effect.