Young People Face High Health Insurance Rates in Minneapolis

Minneapolis - According to a new report from eHealthInsurance, Minneapolis isn't the best choice if a young person is looking for a large city that offers affordable health insurance, says Citizens' Council on Health Care (CCHC).

In fact, Minneapolis misses all three of the top ten lists for lowest monthly health insurance premiums available to healthy individuals. And although Minneapolis makes it onto the top 50 list, the city consistently ranks in the lower one-third of the list.

"If individuals in San Francisco can get a health insurance policy for $58.00 a month, the public should be asking why someone in Minneapolis can't get a policy below $121.00 a month. The difference is staggering," says Twila Brase, president of CCHC.

Lowest Premiums Nationwide:
For a non-smoking single person aged 30 without pre-existing condition: $54.00 (Long Beach, CA).
For a non-smoking single MAN aged 30 without pre-existing condition: $52.38 (Columbus, OH).
For a non-smoking single WOMAN aged 30 without pre-existing condition is $54.00 (Long Beach, CA).

How did Minneapolis rank on the list of lowest monthly premiums?

Individual Policies: $121.00 - 38th
Single Man Policies: $121.00 - 42nd
Single Woman Policies: $121.00 - 35th

Why so high?

Ms. Brase offers several possible reasons:

"Minnesota has the highest number of government-mandated insurance benefits of any state in the country. Minnesota has a tax on health care. Minnesota has yet to adopt tax-deductibility for Health Savings Accounts. And a 1992 Minnesota law consolidated health insurance into three big health plans, leaving little room for competitive market forces to lower costs."

"There's little reason to think the special session is going to improve market forces or affordability of health insurance," says Ms. Brase. "When it comes to being competitive for young able-bodied workers, Minnesota continues to miss the boat."

REPORT: http://image.ehealthinsurance.com/ehealthinsurance/ReportNew/06.28.05MostAffordSinglesReportFinal.pdf