Important Information Regarding Wellmark’s 2016 Exchange Decision and ACA Rate Increases

Today, Wellmark announced that they will NOT offer products for sale on the Exchange/Marketplace in 2016 in Iowa or South Dakota.

Today, Wellmark Blue Cross and Blue Shield of Iowa and South Dakota announced rate increases for January 1, 2016. Average rate increases are listed below:

  Iowa South Dakota
Individual Group Individual Group
Grandfathered Plans Announced in June Announced in June Announced in June Announced in June
Pre-ACA Non Grandfathered (Grandmothered) Plans Announced in June Announced in June Announced in June Announced in June
ACA-PPO 26.5% 10.7% 42.9% 18.8%
ACA-HMO 28.7% 5.9% N/A N/A

These increases will require a public rate hearing which is currently scheduled for July, 2015. GF/NGF rates for 2016 will be announced in June and a rate hearing will be scheduled at that time, if needed.

2015 Timeline

  • May 11 (today): 2016 Product and Rate Filing.
  • May 2015: Rate hearing notice mailed to ACA members (Iowa Only)
    • ACA Member Education Letter mailed to ACA members
  • June 2015: 2016 GF/NGF rates filed
    • Rate hearing notice mailed to GF/NGF members (if needed) (Iowa Only)
    • Member Education Letter mailed to GF/NGF members (if needed)
  • July 2015: ACA Proposed Rate Hearing (Iowa Only)
    • GF/NGF Rate Hearing (If needed)
  • August 2015: ACA and GF/NGF rate approval
  • October 1, 2015 Premium Change Notice letters mailed to all members
  • November 1, 2015 Open Enrollment Begins for 2016 effective dates.
  • January 1, 2016 New rates take effect. Wellmark products will NOT be offered on the Exchange/Marketplace.

As always, please don’t hesitate to call PIPAC at 800-765-1710 with questions. We will continue to provide updates as we receive them.

We appreciate your business and your loyalty to PIPAC and Wellmark.