According to a new report from the American Society of Actuaries, once the ACA kicks in monthly health insurance premiums for individuals in New Jersey should fall by an average of 1.4 percent, from $481 to $474 — as more residents are added to the insurance rolls.
The “Cost of the Future Newly Insured under the Affordable Care Act” also indicates that the decrease would occur at the same time that monthly premiums for individuals are expected to rise nationally by an average of 31.5 percent, from $314 to $413. (These are retail list prices; out-of-pocket expenditures could be lower thanks to individual subsidies.)
New Jersey would be one of only five states that would see lower premiums, along with New York, Massachusetts, Vermont, and Rhode Island. The common thread among these states is that they currently require community rating in their individual insurance markets. With this approach, a state limits the amount that insurers can charge older residents who are likely to incur higher healthcare costs than younger ones.