Health Care Costs Decrease Due To Economic Woes

Healthcare costs decreased all over the country in 2011. This is an indication that people did not spend as much money for health care access or they did not use their health insurance coverage the same way they did in the previous years. Furthermore, the health expenditure rate only raised by 0.1% in 2010 based on the previous year. This shows that fewer people are making insurance claims.

While it may seem like a decrease in health care costs is a good thing, the reality is that this dip may spell trouble in the future. From a diagnosis and treatment standpoint, individuals who avoid making insurance claims can increase future expenses in addition to putting their health at risk. When people choose to ignore those medical issues and put aside nagging aches and pains, the underlying issue will remain and will cause health problems to fester and worsen over time.

In some states, like New York, where some residents enjoy the state-sponsored the Essential Plan program, problems with healthcare access may not be as bad. The program offers benefits that cover essential health needs at more affordable rates. However, in some states, people are having a more difficult time getting access to health care.

The current economic problem is a major factor in this downward trend. Visiting the doctor sadly was not an option anymore for many people. This led to insurance claims going down and health care costs went down with it. This trend, however, is not seen to last long. At the moment, the economy is showing some signs of improvement and healthcare reform will be fully implemented in 2014. This is expected to raise health insurance claims in the future.

In 2014, the U.S. will shift from a company-based health insurance model to an individual-based models. Also, defined benefit models will shift to defined contribution models. The health reform law will give employees more control when it comes to choosing which plan suits them best. This makes it more important for employees to learn about their healthcare wants and needs.

The reform law’s mandate will also require every individual to get health insurance coverage or pay a fine beginning in 2014. Around this time, consumers can purchase health insurance through an insurance exchange, also a provision in the new law.

The U.S. Supreme Court has already scheduled oral arguments for the health care reform law to decide its constitutionality. The high court will review the law’s key provisions and make its decision.