Why your health insurance plan may be out of date and costing you more
In 2019, there will be no federal insurance reform, and no federal law requiring people to buy health insurance.
As a result, some insurance companies are taking advantage of a provision of the Affordable Care Act, known as Section 1311, to provide lower premiums and deductibles to lower-income consumers.
According to the Kaiser Family Foundation, these premium subsidies are helping to offset some of the cost of health insurance, but they’re also leaving consumers more exposed to the costs of medical care, which is a huge concern for consumers.
As the Kaiser report notes, “In addition, because of the lack of clarity around how to reconcile the different policies, insurers are shifting to either higher-cost, more-contingent policies or lower-cost plans with lower deductibles and lower co-pays.”
One of the most popular options among lower- and middle-income people is the private insurance option, where consumers are paying an average of $2,600 per year for a policy, with a median annual premium of $1,100.
With that said, there are also plans with much lower deductibilities and copays.
While these policies have been the most commonly purchased, they’re no longer available in all states, and most of them are quite expensive.
So if you’re looking to find a good plan, the Kaiser’s 2018 State of the Insurance article is a great place to start.
If you’re in need of some information, the source for this article is Health Insurance Cost Analysis.
For a complete list of state-by-state rates, check out our 2018 State Insurer Rates article.