There’s still time to get a health plan for 2016

Consumers have until Jan. 31 to sign up for a health plan for 2016 coverage. People who do not have a health plan for 2016 face a penalty on their taxes of 2.5 percent of their income or $695 per person, whichever is higher. Read more about the tax penalty.

If you are still looking for a health plan, you check our state’s health insurance exchange, Washington Healthplanfinder to find out if you qualify for financial help, including tax credits that may lower the cost of coverage. 

If you do not qualify for help with your health insurance, you can contact an insurance agent or broker directly to find out what your plan options are. You can look at the 2016 individual plans and rates on our website.

Read some tips from us about things you should consider when shopping for a health plan.

After Jan. 31, you’ll have to qualify for a special enrollment period to sign up or make a change to your plan, or wait until the 2017 open enrollment period.

Questions? You can contact our consumer advocates online or at 1-800-562-6900.

Wednesday is the deadline to get a health plan for Jan. 1

Consumers have until Dec. 23 to sign up for a health plan through Washington Health Benefit Exchange for coverage that begins on Jan. 1. The last day to get health insurance for 2016 is Jan. 31. People who do not have a health plan for 2016 face a penalty on their taxes of 2.5 percent of their income or $695 per person, whichever is higher. Read more about the tax penalty.

If you are still looking for a health plan, you can look for one at our state’s health insurance exchange, Washington Healthplanfinder and find out if you qualify for financial help, including tax credits that may lower the cost of coverage. If you do not qualify for help with your health insurance, you can contact an insurance agent or broker to find out what your plan options are.

Read some tips from our office about things you should consider when shopping for a health plan.

Questions? You can contact our consumer advocates online or at 1-800-562-6900.

Is there a drone on your shopping list? You might want to talk to your agent or broker

The Federal Aviation Administration (FAA) estimates more than one million drones will be sold this holiday season. Everyone from photographers and farmers to law enforcement and hobbyists are using drones.  Whether for personal or commercial use, there are a number of insurance issues to consider ranging from personal injury and property damage to privacy concerns.

Drones present a significant risk to property and life on the ground in the event of an accident. Drones can crash due to faulty and inappropriate operation, mechanical defects and component failure. Losses and damages could involve bodily injury to humans and animals as well as buildings and structures.

Using a private drone as a hobby is generally covered under a homeowner’s insurance policy—and subject to a deductible--which typically covers radio-controlled model aircraft. This also applies to a renter's insurance policy. Look at the contents section of your policy, or talk to your agent to see if your drone will be covered if it is lost, stolen or damaged. If your drone falls onto your car, damage to your car may be covered if you have a comprehensive coverage auto policy.

A larger concern is liability for an accident caused by your drone. If your drone crashes into someone else's vehicle or a person. If you have a homeowner’s or renter's policy, generally the policy will cover liability for an accident caused by your drone if it is determined that you were negligent and at fault. Check with your agent or insurer to verify your policy contains this important coverage. You can also read a story about drone insurance that was recently posted on the Insurance Journal’s website.

Drones are defined as remotely piloted aircraft systems and the FAA says pilots of unmanned aircraft have the same responsibility to fly safely as manned aircraft pilots. In addition to FAA regulations, state and municipalities may have their own laws regarding drone use.  The FAA has issued these guidelines for drone hobbyists:

• Don't fly higher than 400 feet and stay clear of surrounding obstacles.
• Keep the aircraft in sight at all times.
• Stay away from manned aircraft operations.
• Don't fly within five miles of an airport unless you contact the airport and control tower before flying.
• Avoid flying near people or stadiums.
• Don't fly an aircraft that weighs more than 55 pounds.
• Use caution when flying your unmanned aircraft.
• With some drones weighing up to 55 pounds, a fall from the sky can cause significant damage to property or bystanders.

Recently, federal regulators announced that recreational drone operators will soon need to register their aircraft. This will allow authorities to trace a drone back to the owner, which means it's vital that you're in compliance with laws and regulations and have the appropriate insurance coverage.

No health insurance for 2015 or 2016? You may be facing a tax penalty

If you can afford health insurance but you choose to not enroll in coverage for 2016, you may be required to pay a fee when you file your 2016 federal income taxes. The fee is also called a penalty, fine, or the individual mandate.

A few facts about the individual mandate:

• The fee is calculated one of two ways. The fee for not having health insurance if you can afford it is $695 per person in your household who doesn’t have health insurance or 2.5 percent of your income – whichever is higher. HealthCare.gov has a guide to estimate the fee you’ll have to pay if you don’t have health insurance. 

• The fee for 2015 is lower than for 2016. For 2015, the fee for not having health insurance if affordable insurance is available to you is $325 per person or 2 percent of your annual household income – whichever is higher. The fee is calculated based on the number of months you, your spouse, or your tax dependents went without qualifying coverage, such as an employer-sponsored health plan, Medicare, Medicaid or coverage through Washington Healthplanfinder.
  
  In some cases, the fee may be higher than buying health insurance through Washington Healthplanfinder. You can look at plans and find out if you qualify for help at www.wahealthplanfinder.org. 

• For some people, exemptions from the fee are available. People with very low incomes and individuals who meet other specific conditions can receive an exemption from the requirement to have health insurance and will not have to pay the fee. Additional information about exemptions and a tool that helps you determine if you qualify for an exemption is available on HealthCare.gov. 

If you need health coverage and want to avoid the fee for 2016, the deadline to enroll in a plan is Jan. 31. If you don’t enroll by then, you could have to wait another year to get coverage and may have to pay the fee when you file your 2016 income taxes. If you want coverage that starts on Jan. 1, you need to enroll by Dec. 23.

More information about the individual mandate on the Internal Revenue Service's (IRS) website.

Health insurers must provide transparency tools to consumers on Jan. 1

Health insurers are required to provide transparency tools via their websites starting Jan. 1, 2016, to consumers who are enrolled in their plans. The tools provide information about treatment costs, quality of care and other patients’ experience with the medical providers. These tools have not been readily available to consumers before now. The requirement is in the Affordable Care Act and is being implemented in Washington state now.

Each insurer must provide written verification to the Washington state Office of the Insurance Commissioner by Feb. 1 of each year that the company is in compliance with this state law, which was enacted by the 2014 Legislature. The OIC provides a form for health insurers to fill out and send to us, called an attestation. We are required to post the form 60 days before it's due.

You can read more about the rules the OIC wrote to implement this requirement, which were recently adopted, or about the state law (RCW 48.43.007). The OIC also provided instructions and the attestation form for insurers to return to us by Feb. 1, 2016.

Tips for holiday travelers

Are you traveling for the upcoming holiday? Here are some travel tips to help keep you safe and informed.

Driving

• The Washington State Department of Transportation (WSDOT) app gives real-time traffic updates and alerts. 
• WSDOT also has an infographic that shows what you should carry in your car when you travel and information about winter driving.
• We have information for consumers about auto insurance and filing claims. 
• The National Association of Insurance Commissioners has an app called WreckCheck that walks you through the steps you need to do if you are in an auto accident and allows you to create an accident report from your phone. 

Traveling by plane

• Give yourself plenty of time to get to the airport and to get through security. Read CNN's story, Thanksgiving travel: Longer lines and tighter security.
• Get airport travel tips from the TSA.
• If you are traveling internationally, the U.S. State Department has country-specific information and alerts. 

Other travel tips

• Set weather alerts for up to five locations using FEMA's mobile app.
• If you are driving to Canada, check border wait times before you choose your border crossing. 
• Get information about travel insurance. 
• Get information about your rights to see an out-of-network health provider while traveling. 

Columbia United Providers will notify enrollees about withdrawal from Washington market

Columbia United Providers (CUP) this week informed the Office of the Insurance Commissioner that it is voluntarily withdrawing from the individual health insurance market.

The company, which is based in Vancouver, Wash., also said that it intends to sell its Medicaid business to Molina Healthcare. That proposal is subject to approval by the Insurance Commissioner.

Here are answers to some questions about CUP’s announcement:

Why did CUP voluntarily withdraw from Washington?

The company cited business reasons for the voluntary withdrawal.

How does CUP’s withdrawal affect the Washington health insurance market?

CUP offered individual plans in Clark County only. As of November 2015, CUP had fewer than 100 enrollees in the individual market. These plans were offered only through the Washington Health Benefit Exchange. The company also managed insurance coverage for about 55,000 enrollees in Medicaid plans in Clark County. The Washington Health Care Authority (HCA) oversees Medicaid in Washington.

HCA is aware of CUP’s withdrawal from the Washington market and its proposal to sell its Medicaid business to Molina Healthcare.

How does this affect those who enrolled in Exchange plans?

The Health Benefit Exchange is aware of CUP’s withdrawal and proposed sale. The Exchange is reaching out to any enrollees who selected CUP for 2016 to assist them in choosing another plan. CUP 2015 enrollees will be covered through the end of the year and can select alternate coverage for 2016. Any CUP enrollee who wants to change coverage for the remainder of 2015 may request a special enrollment.

How will current enrollees be notified CUP’s decision?

The company is responsible for notifying, by Nov. 19, 2015, all individuals who have purchased individual coverage through CUP, to be effective on or after Jan. 1, 2016, that their coverage is terminated. The company’s plans will no longer be listed on the Washington Healthplanfinder.

Even with CUP’s voluntary withdrawal, Washington remains a competitive market with a wide selection of choices. There are five companies that sell individual plans in Clark County. Overall in Washington, there are 14 insurers and more than 200 plans available for consumers for coverage in 2016.

Will existing claims be paid?

Washington state insurance law requires that all claims be paid and that company make plans for payment. At this time there is no concern about the company paying existing claims for enrollees in its Washington plans.

OIC has saved auto insurance consumers nearly $26 million since 2010

The Office of the Insurance Commissioner's rate decisions have saved auto insurance consumers nearly $26 million in premiums since 2010.

Personal auto insurers are required to file their proposed rates and rating plans with our office whenever there's a rate change. Our actuaries review the proposed rates, rating plans, and supporting documentation to be sure that the rates are not excessive, inadequate or discriminatory.

From 2010 through 2014, the rates we approved for the top 20 personal auto insurers in Washington saved consumers nearly $26 million in premiums.

• 2014: $6.2 million 
• 2013: $8.9 million 
• 2012: $5.6 million 
• 2011: $2.7 million 
• 2010: $2.7 million 

Read more about auto insurance in Washington state.

Washington wildfire victims: Hire smart when repairing, rebuilding

As Washington consumers begin to rebuild and repair their homes and businesses after this summer's wildfires, we are partnering with the Washington State Department of Labor and Industries (L&I) to share this message: Hire registered contractors.

Unregistered contractors often have no bond or liability insurance, don’t get building permits, and fail to provide workers’ compensation insurance to their employees. It’s a risky combination that leaves property owners financially vulnerable if workers are injured on their property or the contractor does shoddy work – or takes a down payment and never returns.

Construction contractors are required to register with L&I. In turn, L&I confirms that they have a business license, liability insurance and a bond – requirements that give property owners some monetary recourse if something goes wrong.

Hiring registered contractors provides the best chance for success and to protect your investment.

Hire Smart to avoid rebuilding and repair headaches

• Verify your prospective contractor’s registration at www.ProtectMyHome.net or call 1-800-647-0982.
• Get at least three written bids.
• Check contractor references.
• Pay only as work is completed.

Moda will honor health coverage according to current contracts

The announcement this week by Moda Health that it’s withdrawing from the Washington insurance market has understandably raised questions from its current enrollees.

Enrollees should be aware that their current policies will remain in effect according to the terms of the contracts. Moda said it will fulfill its obligations for plans signed on or renewed by Oct. 31, 2015. That includes policies that have already been sold that start on Nov. 1 or Dec. 1, 2015. Policies that start on Jan. 1, 2016 or later will be terminated.

That’s true for individual, small- and large-group employer plans.

Moda this week notified the Washington Health Benefit Exchange of its decision to quit doing business here. The Exchange is reaching out to its customers to let them know.

You can read that notification here.

In Washington state, Moda has:

• About 18,000 people enrolled in the individual market inside and outside of the Exchange.
• About 29,000 people covered through large-group plans.  
• Another 900 enrolled in small-employer plans. 

Moda said it is withdrawing from Washington to focus on its business in Oregon and Alaska.

By the first week of November, the Oregon-based company is expected to notify all of its enrollees of its withdrawal from Washington.