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Cost Of Health Insurance Is On The Rise- Is The Government To Blame?

Cost Of Health Insurance Is On The Rise- Is The Government To Blame?

Government officials are cautioning insurance companies to stop utilizing scare tactics

to stir up public concern in relation to government modifications in the health care system. It appears that several health insurance companies are using the new laws as an excuse to boost premiums and are criticizing the government for this in an attempt to improve public outrage at the new insurance plan.

Insurance companies are proclaiming that these rate increases are warranted and that the cause really has nothing to do with the government plan but have to do with the increasing cost of medical services and the impact of young people and healthier people getting rid of their health insurance on account of the weakening economy in addition to the extra benefits that are designated by the changing laws.

Government officials dont believe that the health insurance companies are suffering, reporting that their profits are up considerably from last year and that they're using this as an opportunity to scam the public under the blanket of the new program. Obviously, health insurance companies and the association that binds them stand behind their rate hikes stating that the new laws require increased benefits and that those increased benefits are costing them significantly thus some of that cost must be funded by the public.

Some of the alterations that are being instituted include no lifetime maximum benefit for health services, coverage for those up to age 26, and no cancellation of coverage with the exception of in cases of fraud. All health insurance plans must also cover preventative services and present access to doctors with particular medical specialties without the requirement for a referral.

Even though it seems that both sides of this debate have some good points in the end, this will present little resolve to those Americans who are being blessed with higher health insurance premiums for the coming year. In general having better insurance will benefit all, but, one must wonder at what out of pocket expense. It seems that all that is happening is that we are getting more benefits by paying more in premiums and if this is the governments way of rebuilding the health insurance program in this country quite a few Americans are going to be angered. Surely they plan to reform the costs of health care or how do they truly feel that this plan is going to work?

by: Ethan Kalvin
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Cost Of Health Insurance Is On The Rise- Is The Government To Blame?