The Future Of Health Insurance


Quite a few people are frightened about the rising costs of health insurance and the fear is especially high among retirees. People are aware of the risks of an unexpected illness and try to safeguard themselves by having health insurance coverage. However, fears are rising about the future of health insurance and the kind of costs it will impose on the insured.

Presently, many Americans are purchasing health insurance from the individual market which was altered by the affordable care act. People who can afford the policies are spending $1,400 a month as a premium and also need to pay a $4,500 deductible if they are struck by any mishap. The open enrollment period of the affordable care act begins from Wednesday and continues until December 15 in most states. Insurance companies are looking forward to increasing premiums by double digits primarily because of the Trump administration’s decision to discontinue payments to insurance companies, which was earlier being given as subsidies. Insurance companies were required to pass on the subsidies to low-income families to cover out-of-pocket expenses.

Many Americans are presently spending approximately 30% of their income towards health insurance and health care. People that were benefiting from the ACA (Affordable Care Act) only had to pay $245 as a premium every month because of the subsidies they were getting. The premium chargeable for every individual is likely to be in the region of $700 every month, with no changes being made to the deductible that still stays at $45,00.

The Trump administration has its own arguments against the subsidies, which they claim are expected to take away approximately $7 billion in 2018 and increase to $12 billion thereafter. Experts within the administration have claimed that the Obama administration was giving away money to insurance companies that were not really interested in helping the underprivileged. Moreover Pres. Trump had announced during his campaign in the 2016 elections that the Affordable Care Act would be revoked if he was elected and had made it his campaign promise. Definitely not expected to be as easy as playing games at beste online casino.

The higher premiums being proposed by the insurance companies will in every likelihood leave families with an income of $65,000 searching for affordable healthcare from the marketplace even as premiums are expected to rise by 17 to 35% over the next year according to the plan chosen.

The substantial increase in the premium for a second year running could lead to fewer people deciding to purchase health insurance coverage. Consumers are confused about the future and could decide not to purchase the coverage essential for them. As things stood with the Affordable Care Act, insurance companies were not allowed to exclude people from buying insurance by inserting the clause of per-existing conditions or even charging people over the age of 55 to 64 premiums thrice as much as younger people. With these stipulations now being repealed, it is likely that more people will opt to be without insurance rather than commit themselves to a financial burden which they will be unable to afford. Many people will be too poor to afford health insurance and therefore insurance companies may well see a downturn in their business.

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