[lotsofpulp]

> then their insurer will raise their rates because their employees have a history of expensive health problems

This is illegal since 2011 due to the Affordable Care Act.

The only factors allowed to price insurance is age, location, and tobacco use.

https://www.healthcare.gov/how-plans-set-your-premiums

Even the age factor is bounded by the highest risk age having to be only 3x the lowest risk age (i.e. a subsidy from young to old). The lack of ability to price based on pre existing health conditions is a subsidy from healthy to sick.

And for political reasons, we can afford to discriminate against tobacco use, but not sugar or alcohol or sat fats or lack of exercise.

[toast0]

Does that page apply to employer based plans? It's not clear that it's not just discussing marketplace plans.

[chimeracoder]

> Does that page apply to employer based plans? It's not clear that it's not just discussing marketplace plans.

It applies to all non-Medicare, non-Medicaid, non-grandfathered[0] plans for people under the age of 65.

Ironically, once you turn 65, all bets are off: insurers can factor your age into your premiums, and people often get a massive rate hike then (usually prompting them to switch to Medicare).

[0] A small percentage of employer-provided pre-ACA plans are grandfathered in, but they're few in number and decreasing over time. If you have a grandfathered plan, you probably know it, because it's required to be disclosed visibly in the plan documents when you enroll.

[ecommerceguy]

>>The only factors allowed to price insurance is age, location, and tobacco use.

Not necessarily.

Self funded plans are underwritten. Fully Insured over 50 fte plans are underwritten. A carrier will underwrite based upon Medical History. Individual Short Term Medical plans are also underwritten.

>>It applies to all non-Medicare, non-Medicaid, non-grandfathered[0] plans for people under the age of 65.

Incorrect, see above.

>>Ironically, once you turn 65, all bets are off: insurers can factor your age into your premiums, and people often get a massive rate hike then (usually prompting them to switch to Medicare).

Again, not necessarily, Nearly all Americans over 65 have Medicare, as part A is required. The States regulate these plans so each state may be different in some way. Medicare supplements are often underwritten, but can be guarantee issue, again depends on the State.

>>A small percentage of employer-provided pre-ACA plans are grandfathered

Correct, these are getting priced out. They are underwritten. If you are on a GF/GM plan, then switching to LFP or similar is likely a smart move.