A bill will be introduced in Sacramento Wednesday that would require health insurers to get permission from the state before raising premiums. It's modeled after California's law that regulates auto insurance. KPBS reporter Kenny Goldberg has the story.
State lawmakers are considering a number of health care reform packages this year.
But backers of the new measure say none of the other proposals would guarantee premiums are affordable. Under the new bill, health insurance companies would have to justify any premium increases to state regulators.
Jerry Flanagan is with the Foundation for Taxpayer and Consumer Rights. He says the measure would allow people to find out where insurers are spending their money.
Flanagan : One company, Blue Cross, last year spent $530 million just on advertising and marketing. Obviously every dollar that's spent on advertising and marketing means that patients have to pay more money for less health care.
Flanagan says his group may put the regulation idea on the ballot if lawmakers reject the bill.
Kenny Goldberg, KPBS News.
