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Originally published August 5, 2007 at 12:00 AM | Page modified August 5, 2007 at 2:05 AM

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Hundreds march to protest Regence premium increases

Karen LaCasse already has called off the cruise she was planning with her twin granddaughters to celebrate their 18th birthday. The next cut is...

Seattle Times staff reporter

Karen LaCasse already has called off the cruise she was planning with her twin granddaughters to celebrate their 18th birthday.

The next cut is likely to hurt more as LaCasse, a self-employed travel agent, dips into retirement savings to pay her health-insurance premiums, which rose 42 percent last month.

"You cut corners wherever you can," said LaCasse, 61, of Ballard, who needs bimonthly drug treatments for rheumatoid arthritis that cost thousands of dollars each.

LaCasse was one of several people insured by Regence BlueShield who spoke at a protest Saturday, when about 500 activists marched from Seattle University to Regence's downtown Seattle headquarters to demand universal health care and condemn Regence's recent rate increases.

Regence raised premiums for 137,000 individual-plan customers by an average of 19 percent in July, though some policyholders saw increases of more than 40 percent. LaCasse is paying $555 a month now, up from $390.

The loud but well-mannered crowd clustered in front of Regence's high-rise at Ninth Avenue and Howell Street, some dressed as pirates, others carrying signs with slogans such as: "The only people who can afford this are Regence's CEOs."

Ruth Knagenhjelm of Health Care for All Washington wore a hospital gown that did not cover the mask of an exposed backside she wore around her waist, under a sign that read: "No more bare coverage."

Ann Ngo, a 22-year-old lab technician, was joining her first-ever protest march with a sign that read "Regence is run by sickos," referring to Michael Moore's new health-care documentary, "Sicko," which inspired her to take part.

Speakers accused Regence of leveling its largest rate increases against the elderly and criticized the nonprofit insurer for holding $890 million in capital and surplus.

Regence officials counter that the largest rate increases were for policyholders with more expensive plans who were aging.

"Our rates are in line with the market," said company spokeswoman Angela Hult. "Health-care costs are rising, and rising rates are a reflection of that."

The reserves, she said, are a safety net during a catastrophe and "a hallmark of being a financially responsible company."

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Randy Joseph saw her Regence premiums jump 16 percent recently to cover the three employees of her small downtown accounting firm.

"When they're hit with double-digit increases like this, it's tempting for small businesses to scale back or terminate coverage altogether," she told the protesters.

Groups organizing Saturday's protest included the Washington Community Action Network and 25 local churches, labor unions, senior organizations and health-care providers.

Jolayne Houtz: jhoutz@seattletimes.com; 206-464-3122.

Copyright © 2007 The Seattle Times Company

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