- 3:1 Ratio – Age is a consideration in the cost of insurance, but the same coverage cannot vary by more than 3:1 for people of different ages.
- Risk Adjustment Factor – Insurers can no longer use the risk adjustment factor (RAF) in rating customers and issuing insurance.
- DOB and Zip Code – Date of birth (DOB) and zip code are now both used in reporting on patients. This can offer more insight into the insurance usage around the country.
Insurance is changing more quickly than ever before—especially with the Affordable Care Act coming into play. 2014 offers a number of changes to the rating structure. Understanding these changes can help you choose the right insurance and make certain you will qualify for the insurance you need. While this list is not all-inclusive, the following are some of the rating structure changes to keep an eye out for in 2014.