Blue Cross Blue Shield of Michigan wants the state to allow it to increase insurance rates by as much as 15% for 189,000 citizens below age 65 who purchase their own insurance.

The intended rate hikes, filed on Friday with the Michigan Office of Financial and Insurance Regulation, are required to make up for as much as $60 million in anticipated losses in 2011 in the policies, Spokesman Andy Hetzel said on Friday.

Hetzel said, "Blue Cross carries a tremendously costly individual pool", which is "much more expensive" to offer coverage for.

The Blues plans to increase rates 7.8% to 12% on its group conversion policies, which offer coverage to people comparable to what they once had in office.

It is also planning for a 9.9% raise on other policies intended towards hale and hearty young adults prepared to shell out greater out-of-pocket costs.

The rest of the individual policies would be enhanced by 15% per month, if permitted.

Last year, Ken Ross, Michigan's Insurance Commissioner, permitted an average 22% rate increase for the Blues' individual and group conversion policies.

The Blues said that it lost $94 million on those policies in the past year, in spite of the rate increase.

Attorney General Mike Cox, who challenged the Blues' rate increase last year, said that he inquired if the insurer required additional money from its consumers since it’s over $2-billion surplus swelled by $528 million last year.