Blue Shield Of Calif To Proceed With Rate Hikes

SAN FRANCISCO (AP) -- The San Francisco-based insurer said Friday that it has asked an independent actuary to review the increases and would issue refunds if problems were found with the rates.

California Insurance Commissioner Dave Jones had asked Blue Shield to delay planned March 1 increases so his department could do a full review.

The insurer has implemented two rate hikes since Oct. 1. Some policyholders would pay 59 percent more in premiums cumulatively over the three increases.

Blue Shield CEO Bruce Bodaken says the increases are necessary because of rising health care costs.

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