Can health insurance companies charge the unvaccinated higher premiums? What about life insurers? 5 questions answered.

The current COVID-19 wave in the U.S. is mostly affecting unvaccinated Americans, who represent more than 95% of current cases of hospitalization and death.

Given that the average cost of a COVID-19 hospitalization in 2020 ran about $42,200 a patient, will the unvaccinated be asked to bear more of the cost of treatment, in terms of insurance, as well?

We asked economists Kosali Simon and Sharon Tennyson to explain the rules governing how health and life insurers can discriminate among customers based on vaccination status and other health-related reasons.

This is a really interesting question and depends

Read more

AM Best Revises Outlooks to Negative for American Federated Insurance Company and American Federated Life Insurance Company

OLDWICK, N.J., August 27, 2021–(BUSINESS WIRE)–AM Best has revised the outlooks to negative from stable and affirmed the Financial Strength Rating of B (Fair) and the Long-Term Issuer Credit Ratings of “bb” (Fair) of American Federated Insurance Company (AFIC) and American Federated Life Insurance Company (AFLIC). Both companies are known collectively as American Federated Insurance Companies and are domiciled in Flowood, MS.

These Credit Ratings (ratings) reflect AFIC’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and marginal enterprise risk management (ERM). The ratings

Read more