The rising cost of health insurance is nothing new, but one company is taking premium hikes to a whole new level. Anthem Blue Cross announced rates would increase by as much at 39 % In California. And that has grabbed the attention of the President, as well as people here in Montana.

As Anthem Blue Cross said it will boost premiums by up to 39%, President Obama demanded justification. In yesterday's interview with CBS, the President asked the company for an explanation and pointed to the rate hikes as a reason to move forward with his health overhaul legislation.

"It was a great response by the President,” said Professor Deborah Hanson of UGF. “He is not saying they can't do it. But just find out why. If it's justified then maybe that's ok."

Deb Hanson is a professor of business administration at the University of Great Falls. We asked her to explain whether a rate increase so much higher than inflation is reasonable.

"Medical costs are some of the fastest growing components of the consumer price index. It's growing faster than everything. But 39 % seems like a lot."

Although not as high as the California increase, Some Anthem customers in Montana have already noticed a rate hike this year. Some Great Falls residents voiced their concerns about the rising costs to stay insured.

"My mom has health insurance,” said Sam Shearin. “The rates are going up. We are always broke and have trouble making house payments."

"They don't seem to be going down,” said Pat Hall. “Just higher and higher.

While they might not see increases as high as Anthem Blue Cross customers in California, Professor Hanson says all Montanans should expect more rate hikes in the future.

"I would not be surprised if there are double-digit rate increases by most organizations."

Professor Hanson says while most middle class Americans see health insurance as a necessity, the higher the premiums, the more likely they are to take the risk of not carrying insurance.

The Obama Administration says the increase is hard to understand in light of the profitability of Anthem's parent company.