It attracted notice last week when Attorney General Patrick Lynch recommended a rate hike slightly less than that sought by Blue Cross & Blue Shield of Rhode Island. Now, one of the Democrats seeking to succeed Lynch, is taking a different approach:

Steve Archambault, Democratic candidate for Attorney General, today called on Health Commissioner Christopher Koller to reject Blue Cross’ proposed 10.2 % increase for direct-pay plans; 11.5 % increase for small groups and 14.6% increase for large groups.
 
Pointing to a recent study released by Koller’s office that ranks Blue Cross’ Administrative expenses higher than the average in New England, Archambault called on Koller to send Blue Cross “back to the drawing board.”
 
 “These are difficult economic times. Too many Rhode Island families are already at the breaking point and both small and large businesses are struggling to stay afloat. These proposed rate increases are simply unaffordable. The Health Commissioner should send Blue Cross back to the drawing board and demand that they cut administrative expenses and seek other efficiencies first before asking for rate hikes,” Archambault said.
 
In a letter to Commissioner Koller, Archambault also called for additional public hearings on the proposed 10.2% increase in direct-pay plans – the plan rate increase that is currently before the commissioner. Direct-pay plans are purchased by Rhode Islanders who do not receive health care from their employer or other group. Archambault noted that the recommendation of an independent consultant retained by the Attorney General’s office to allow an increase of 9.5% increase in direct pay plans was still too high.
 
“Rhode Island families are facing the most difficult economic situation in at least a generation.  There must be a new emphasis on cost-savings. All Blue Cross expenses, including top executive salaries, should receive strict scrutiny,” he said.