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SPECIAL COVERAGE: Living With Wildfires: San Diego Firestorm 10 Years Later

California Regulators Will Audit Health Insurers’ Rate Hikes

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State regulators say they want an independent review of any future rate hikes by California's largest health insurers. The announcement comes after auditors found Anthem Blue Cross's recent rate request violated state law.

— State regulators say they want an independent review of any future rate hikes by California's largest health insurers. The announcement comes after auditors found Anthem Blue Cross's recent rate request violated state law.

The independent reviews will affect health insurers that sell policies on California's individual market.

State law requires insurers to spend 70 cents of every premium dollar on medical care. Regulators say they'll audit companies to make sure that threshold is reached.

Shana Alex Lavarreda is with the UCLA Center for Health Policy Research.

"Previously, the insurance commissioner had just accepted insurance companies' numbers and then approved them. And now I think with the higher scrutiny on rate increases, I think it's a good thing that we're holding these insurance companies accountable to the law."

Two-and-a-half million Californians have individual health insurance policies.

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