Health insurance is regarded as one of the miracles of modern times. Although many would disagree. It is a system where individuals try to prepare for the cost of future medical care by paying a token to organizations. These organizations are known as policy providers that assist in reducing the price when the need arises.
Most companies and government systems offer policies to their employees. Presently, the health insurance industry is undergoing a lot of changes that run the gamut from employer activism to change insurance plans and the enactment of the Affordable Cate Act of 2010. The current modifications stem from awareness being created on the failures of the industry in fulfilling its obligations.
According to a survey carried out in 2007 by the Commonwealth Fund, a comparison of healthcare systems and performance in Australia, Canada, the U.K, the U.S, Germany, and New Zealand. It showed that the U.S has the most expensive policy but has consistently fallen below par when compared to other nations. As a result, many Americans dropped their plans.
The Current State of Health Insurance
More than 160million Americans are under insurance plans sponsored by their employees. Up to 100 million are under government-sponsored policies. Then, about 17 million buy private insurance plans for themselves. Although those under company and government-sponsored procedures have better chances of getting health care.
The shortcomings of the industry by way of disappointment and incoherent excuses can be avoided by getting private ideas. The Affordable Care Plan of 2010 has been implemented to help those outside this category. The issue is that most people, for fear of disappointment and lack of understanding about the dynamics of this plan have refused to board the wagon.
Karen Pollitz, a senior fellow at Kaiser Family Foundation and health care policy expert, explains what the ACA is. She starts by saying that it is the Affordable Care Act, also called Obamacare implemented to make sure that every American can have affordable health insurance. She further explained that the ACA works by giving consumer discounts which are called tax credits to consumers on health insurance plans. Sponsored by the government and by the expansion of the Medicaid assistance program to help people who have less than is needed to afford health care. According to her, in past times, not all diseases had their cost covered by insurance, but that is changing.
Certain conditions have to be fulfilled to get the perks of the Obamacare plan. Some of them are as follows;
– Obamacare is mostly for those who have to pay for their insurance. Which means it is for those buying private health insurance plans.
– Those who get special discounts known as tax credits are those who earn between 1-4 times the Federal Poverty Level. This number is used by the government to ascertain the smallest amount of money needed to get food, shelter, and other essential needs.
– Those who qualify for tax credits can either use them to reduce that they pay as monthly premiums or declare them on taxes to be paid at the end of the year.
This new development seems to be a goldmine of sorts, but there are contentions regarding it. Americans have reacted in diverse ways since its implementation. The present government seems to be having issues with some parts of the ACA. And according to experts, the future of health insurance is not entirely sure. Predictions have been made, and this is what it would look like;
The Future of Health Insurance
According to experts, health insurance could take any of the following turns:
1. Increase in purchase/enrollment
There could be an exponential increase in the number new enrollment in the coming years. This is based on a burgeoning interest among policymakers of state and governors to partner with private plans in managing enrollment.
2. Consolidation or merging of insurance providers
With the possible growth rate as well as decadence, there may be more extensive operations if there are more mergers. The number of insurers may decrease, but there will be a broader scope of activities.
3. The abundance of new products and services:
The health insurance industry may take advantage of the development of new systems and products. This is to enable them offer incentives for enrollment. So, there might be collaborations with different sectors.
These are just some of the possible turns the healthcare insurance industry might take. While change is constant, many parents hope that their children will grow up to the availability of better health care plans.