How Supplemental Health Plans Can Help Ease The Pain Of Soaring Health Insurance Costs
Healthcare.gov has officially opened for enrollment, and HHS says that premiums are going up by as much as 25% for some plans.
ABC World News recently reported that “[Insurance] Premiums going up for Americans who depend on” the Affordable Care Act. In addition, “one in five consumers will have only one insurer to choose from, because several major carriers withdrew from the program.” ACA plans will rise by as much as 25 percent on average next year. According to HHS spokesman Kevin Griffis, “‘The number of people eligible for tax credits will increase’ as premiums rise next year, and the amount of assistance will also increase.” While the next open enrollment period has not yet begun, the department announced that consumers can start examining their options on Healthcare.gov.
The Washington Post has even gone so far as to run a front-page story, noting that "the sharp increase in rates serves broadly to confirm what has become evident piecemeal in recent months: Prompted by a burden of unexpectedly sick Affordable Care Act customers, some insurers are dropping out while many remaining companies are struggling to cover their costs.” HHS also warned that some 20 percent of users will have just one coverage option for 2017. Yet, HHS officials pointed out that more than 70 percent of Healthcare.gov users will pay about $75 a month in premiums thanks to Federal subsidies.
More and more Democrats, including former President Bill Clinton, Minnesota Gov. Mark Dayton, and even President Obama himself, are “acknowledging that the Affordable Care Act has an affordability problem.” These Democrats all contend that the ACA “is working well for most people, and that the problem of rising premiums is specifically focused on a minority of consumers who earn too much money to qualify for federal subsidies.” But the healthcare law’s current problems leave it vulnerable to GOP attacks. The article adds that “administration officials say they wish insurers had set their premiums higher and more accurately to begin with, so they wouldn’t have to hike them so much now.” For instance, Acting CMS Administrator Andy Slavitt stated, “Would we all have preferred to be 10 percent higher say from the start with more gradual increases?. ... Of course. You bet we would.”
So, what's the upside to a lot of "bad news" about price increases in general healthcare across the entire field? Supplemental plans can be your rescue. Adding a supplemental insurance plan to your policies is extremely affordable compared to 'traditional' insurance plans, and unlike other forms of healthcare insurance, the premium rates aren't raised yearly. When people have to make large deductibles even bigger to avoid completely unmanagable health insurance premiums, a supplemental healthcare plan can add even more value, providing immediate cash flow to help cover everyday costs such as bills, groceries, and rent or mortgage payments. When the costs of all other health insurance plans can be outrageous, and even "Affordable Care Acts" becoming not at all affordable for many individuals and families, having a supplemental health plan to cover you in case of accidents, Cancer, extended hospital stays, or for short-term disabilites can literally be a life saver.