Anthem Blue Cross Spending Questioned After Rates Hikes Up To 39% (VIDEO)
California's largest for-profit health insurer, Anthem Blue Cross, is expected to raise premiums by 30 to 39 percent on an unknown number of its 800,000 members. The announcement isn't sitting well with a wide range of people -- from government officials to Anthem members.
Health and Human Services Secretary Kathleen Sebelius demanded that the insurer reveal how much they stand to profit from the rate hike in a to the company earlier this week.
An inquiry is also being launched by California Insurance Commissioner Steven Poizner. While the increase doesn't require state approval, he wants to ensure that it abides by state regulation and 70 percent of income from premiums will be directed to medical costs.
A video released today by Sick For Profit includes an interview with an dissatisfied Anthem member and a look at how the some of the company's money is being spent on compensation and on lobbyists in Washington, D.C.