Three House Energy and Commerce Republicans challenged Health and Human Services Secretary Kathleen Sebelius on Thursday to defend her response to health insurers’ proposed rate increases.

The Republicans’ letter came in response to a letter Sebelius sent to the nation’s health insurance trade association in September, warning that federal regulators would have “zero tolerance” for what she described as unjustified premium increases and misinformation on the health care overhaul (PL 111-148, 111-152).

“We find your response to the announcement surprising and potentially inappropriate,” committee ranking member Joe L. Barton of Texas, John Shimkus of Illinois, and Michael C. Burgess of Texas said in a letter Thursday.

Sebelius and the insurance industry have been at odds as the administration seeks to champion the new law while insurers blame rate increases on new benefits the law requires them to offer.

HHS estimates that the effect of the law on premiums will be no more than a 1 or 2 percent increase, Sebelius said. But Aetna Inc., some BlueCross BlueShield plans and other smaller carriers have asked for premium increases ranging as high as 9 percent on policies for individuals and small businesses to pay for extra benefits required under the law, according to filings with state regulators.

The GOP lawmakers asked Sebelius for documentation showing the announced premium increases would be unjustified. “We fear that your letter is an effort to intimidate those who reveal the negative consequences of the law and an attempt to block actuarially sound premium increases, which would put all consumers at risk,” they said.

Citing “the long established authority of state insurance commissioners to remove unscrupulous insurers,” they also asked the former Kansas insurance commissioner for evidence that state regulators are “unable or unwilling to protect consumers.”

They requested that Sebelius provide a briefing on expected changes under the law as soon as possible, as she has not appeared before the committee since the bill was signed into law in March.

Sebelius said at a separate event Thursday that she would appear in front of committees when invited to do so by panel chairmen.


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