Mass. Seeks Health Insurance Rate Cuts

The agency that oversees the state's health insurance law is asking insurers to cut rates for 160,000 residents who receive state-subsidized care.

The Connector Authority is facing soaring costs, vanishing resources, and an expected jump in enrollment.

With a projected $82 million gap, the authority's board on Thursday approved a major change in how it will do business with insurers in the Commonwealth Care program. The approach encourages competition and will reward the lowest-cost insurers by giving them the most customers.

Massachusetts regulators say paring costs will keep co-payment increases modest and ensure quality coverage.

Health care advocates are concerned that rate cuts could mean insurance plans with a narrower choice of hospitals and physicians and more restrictions on the use of specialists.

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