Silvergapping 2019 Healthcare.gov

Healthcare.gov just released their public use files.

I am running my annual Silver Gap analysis. Silver gapping is the measure of the spread between the least expensive Silver plan in a county and the benchmark Silver plan. The bigger the spread, the better the deal that subsidized folks may be able to get. The smaller the spread, the worse (comparative) deal subsidized buyers get. Silver Gapping varies year over year by insurer strategy choices, market entry and exit and regional pricing changes. Silver gapping is only about the relative differences in price and not about the absolute price levels. This information does nothing to inform people about the market premiums if they don’t qualify for subsidies.

I am using premiums for a single 40 year old non-smoker for all analysis.

Major Points:

• As always, if you buy your insurance on the Exchanges SHOP AROUND as the relative and absolute prices in your county will change every year so a great deal this year may become a stinker next year
• Way more Gold Gapping in 2019 than 2018 (at least in counties, I have not population weighed)
  • 2018: 595 counties had at least 1 Gold plan less expensive than Benchmark
  • 2019: 1,136 counties had at least 1 gold plan less expensive than Benchmark
• More really big Silver Gaps (Counties with at least a $100 Silver gap between benchmark and least expensive Silver)
  • 2018: 174
  • 2019: 198
  • Population benefiting probably declined as Philadelphia and inner ring suburbs lost their huge Silver discounts as Centene entered the market and compressed the spread.
• North Carolina is seeing some Silver Gapping outside of the Triangle
• Something odd is happening in Oklahoma
  • $500+ Gold Gap in Grant County