Covered California Adds Surcharge on Health Plans

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Covered California is about to get more expensive, and the cost will be passed on to taxpayers. 

The state health exchange announced today that premiums at the silver level exchange will increase by up to 25% next year, but most customers will not actually pay for it. According to spokesman James Scoleri, that's because the increase in premiums make people eligible for greater financial help. 

"As the gross premium goes up, so will the amount of the financial help they will receive."

About 90% of people currently enrolled in the exchange receive some kind of assistance in paying their insurance premiums. Scoleri says some consumers may actually see their rates go down as the additional aid kicks in. 

The new surcharge is thanks to some uncertainty from the Trump administration over whether the federal government will continue to pay for certain items. Taxpayers in California will pick up the rest 

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