Ohio health insurance premiums are rising. This is mainly due to increasing health care costs. It’s important to understand the factors that contribute to rising costs of health care. Controlling these factors can help to slow down the rise in premiums.
Ohio health insurance premiums are rising, even for those who do not use a lot of health care services. According to a survey conducted by Kaiser Family Foundation and the Health Research & Educational Trust, premiums have increased nationally by 97% in less than a decade, about three times as fast as wages and inflation.
This is a worrying trend because more Ohioans are looking to purchase coverage to meet the requirements of the Individual Mandate. Moreover, spending more on health insurance would mean having less to spend on essentials like food and gasoline. Understanding and controlling the factors that contribute to rising costs of health care can help slow down the rise in premiums to some extent.
Factors Contributing to Increased Expenses on Health Care
Ohio health insurance companies fix premiums based on age, location, and the costs to pay for members’ claims. According to leading health insurer Anthem Blue Cross Blue Shield, 87% of premiums are used to pay for medical services and products, 10% goes to cover administrative costs, and 3% to health insurer profits. It is the costs to pay for the claims of the insured that are going up and causing Ohio health insurance premiums to increase. Here are the main reasons why health care costs keep rising:
Role of Health Reform and Ohio Health Insurance Companies
Health reform aims to control health insurance costs. Ohio will soon have a federally-run health insurance exchange where individuals and small businesses can purchase affordable coverage. Health care law has provisions aimed at checking insurance fraud, patient outcome-based reimbursement for physicians, and more.
Ohio health insurance carriers such as Anthem are working to help members save expenses on care by helping them get discounts from service providers, encouraging use of generic drugs, encouraging healthier life styles, and fighting fraud. Insurers are also striving to reduce their own costs so that they can provide health insurance Ohio at more cost-effective rates.
The best way to find affordable health insurance in Ohio is by getting professional advice from a licensed, experienced insurance brokerage. They can help compare and carefully review your Ohio health insurance options.How Your Ohio Health Insurance Plan Works
The right Ohio health insurance plan is one that would pay for the medical expenses that you cannot afford on your own. To choose the right plan, it’s important to understand how the different aspects of your health insurance work.Newly Released Federal Requirements to Change Ohio Health Insurance Scene
The Obama administration has taken steps to implement the provisions of healthcare law which will change the Ohio health insurance scene in many ways. More people will have access to coverage, though it may raise costs for some.How Healthcare Reform is changing the Kentucky Health Insurance Scene
Kentucky is one of the first states to go ahead with the creation of a health insurance exchange where Kentuckians can purchase affordable, quality coverage. The Kentucky health insurance scene will see many changes starting in January 2014.