Aetna under fire for rate hikes in California

Aetna is under fire in California for what the state's insurance commissioner deems "excessive" premium hikes for small businesses, according to the Los Angeles Times.

Average premiums for the 5,000 small businesses in California covered by Aetna will rise 10.7 percent as of Jan. 1, 2015, with some premiums rising as much as 20 percent. All told, these businesses insure 64,000 employees and dependents in California, and the rate increase will cost small employers and their workers $23.5 million, the article said.

An Aetna spokeswoman told the LA Times the second filing was based on additional, "actuarially sound" claims data, adding that cost increases "continue to exceed the rate at which we have been able to increase premiums." Article