American Health Insurance Keeps Changing
Health insurance in America has changed and perhaps not for the best. Prior to Obamacare a male under 30 could buy a $1,000 deductible plan with a $3,000 maximum out-of-pocket. The cost was about $80 per month depending upon the insurance carrier. Today, nothing exists in the health insurance market that resembles that product, and the prices are much higher. The deductibles are higher, around $7-8,000, and the maximum out of pockets are equally high, around $8,000, or higher.
How did this happen? It’s quite simple to explain. When the insurance carriers are required to insure all without regard to their medical conditions, there is a need for changes to accommodate those with medical conditions.
Let’s Talk Premiums
The rates had to change to accommodate the additional risk of insuring anyone regardless of their medical conditions. To state it another way, those with serious medical conditions were the first to sign up for coverage. They also spent the most money on premiums because the lower premium plans did not pay enough for those claims. So, the most ill took the lowest out-of-pocket plans with the highest monthly premiums. It makes sense if you think about it. Good news for those with medical issues who might not have been given the opportunity to get insurance prior to Obamacare. Bad news for the insurance companies and bad news for those with little or no medical issues who wanted to be protected if something happened medically.
Everyone is impacted by Obamacare and the cost of health insurance keeps rising each year. I don’t see this changing but expect to see much higher prices for health insurance with lowered benefits.
This blogger believes that Obamacare was the precursor of national or universal healthcare for all Americans. Some would say this is a good thing because they want universal healthcare to be run by the federal government and not private insurance companies.
What National Healthcare Looks Like For Americans
Let’s examine what national healthcare would mean to Americans. No country in the world with national health insurance is profitable. They are run by governments and as usual, anything the government touches costs more money than if run privately. It also means higher taxes to support healthcare. There is no free ride and just because the government is running it doesn’t mean it’s better. It also means longer waiting times for surgical procedures and perhaps those with influence might not have to wait as long as the public. Many doctors have already stated that if socialized medicine comes, they will retire, leaving a larger shortage of doctors.
Also, can anyone imagine members of Congress or other politicos waiting their turn in line? I can’t and believe it will lead to many controversies with the public and these politicos.
Canada Healthcare System
Look at Canada for example. Great coverage if you could get it to use it. Then, why are many Canadians crossing the border into America to get medical procedures?
It’s because the waiting times in Canada and everywhere else in the world with national healthcare are very long. So long that many die before they can get the procedure completed.
The other aspect of national healthcare is that the doctors may not be as good as those who seek individual practices. There is no proof that I am aware of that supports that, but it does make sense to this blogger
Additionally, socialized medicine does not draw the best physicians because of the limitations of fixed salaries, etc. Most physicians who spent all that time and money to complete their desire to become physicians do not want to be told how much money they can make and what they can and cannot do with a patient. It’s the creativity of these physicians that makes the system work and everyone benefits. America has the finest doctors in the world and many from elsewhere come here because of that. It does cost more but anything worthwhile pays the price for the best.
It is my belief that somewhere in the foreseeable future the Democratic Party will be pushing for nationalized healthcare. Don’t know when but it is being mentioned now so if the political climate is right, it will become a reality unless those on the opposite side of this issue are strong enough to fight it. Not sure but have to believe the opposite side will eventually stop the rise of socialized medicine. I am not a fan of socialized medicine in any form because I believe the individual gets lost in the system and that is not good.
Socialized medicine is the precursor of socialism. I didn’t want to go there but believe our children and grandchildren will see some form of socialism in America.
Suffice it to say, I’m not for any form of socialism, especially in medicine.
I hope this information is useful and if anyone has questions, please contact me via phone or email and I will respond quickly.
Also, take a look at Medicare 2023 Information.
The Barend Agency Inc.
Len Barend, Broker