Relationship Between Medical Service Consumption And Health Insurance Demand

More and more people with medical insurance are relying on the health care system as new technologies and treatments become available. This leads to a grater number of claims for payment by insurance companies, the costs of which are passed back to health care consumers. The baby-boom generation is entering its peak health-care using period. Over eighty million Americans will turn 50 in the next 10 years. The cost of providing heath care for these individuals will be staggering

The cost of health insurance has changed drastically over the years as it has become more expensive. Depending on personal characteristic, the cost of health insurance may vary. For instance, as individuals grow older the more expensive it becomes. In this case, health insurance is more costly because “older individuals require more health care” therefore “the cost of providing health care is rising” (Madura &Atlantic, 2012). Not only does this affect the high cost of health insurance, but the number of individuals uninsured. As stated by Madura and Atlantic (2012), “about one in every five workers is uninsured” and has increased since then because health insurance has become unaffordable. As a result, individuals tend to seek health care elsewhere as they can no longer

Rising health insurance premiums have made healthcare unaffordable in the United States. Health insurance premiums in this country have undergone a steady rise over the past few years while incomes have remained the same. More than 50% of individuals with low incomes holding private insurance in the United States are unable to afford their healthcare costs (Collins, Gunja, Doty & Buetel, 2015). In addition, costs related to healthcare are equally unaffordable to 25% of working-age individuals who hold private health insurance policies (Collins et al., 2015). According to the Kaiser Family Foundation/Health Research and Educational Trust (Kaiser/HRET) survey on employer health benefits, employer-sponsored health insurance plans have also had moderate rises in premiums in 2013 for both individuals and family coverage (Claxton et al., 2013). While

Living in the United States, there is one essential thing you need to have, which is health insurance. Health insurance is a type of insurance that can covers cost of medical and surgical expenses when you need them. Without health insurance, the cost of one single surgery would be a enormous number. But in the United States, there are about 46 million americans are uninsured. To them, the cost of health insurance is too high. In America, the average cost of health insurance per month is about $328 and the minimum wage per hour in here is $7.25(where cite from?). From here, we can conclude that it is too expensive for those people to get sick. So, is the health insurance cost unjustifiably high? The answer is the highly developed technology, waste of health care budget and the free competitor in the health insurance market, caused health insurance’s price to remain so high.

In 1954, Congress passed legislation allowing employers to provide health insurance benefits to employees on a tax-free basis (Sih and Singh 99). This legal provision marked the beginning of the rapidly expanding health care costs still apparent today due to the major incentives provided by the government to obtain employer-based health coverage. The overwhelming popularity of employer-based health insurance has led to a serious market inefficiency resulting from the system of third-party payment. As individuals rely on their insurance companies to pay for their medical expenses, this provides

This report is gives a look at numerous factors affecting healthcare and how a lack of insurance has implications to not just the individual, but society as

This paper will include: the current health care expenditures whether spending is too much or not enough, where the nation should add or cut, how the public’s health care needs are paid and provide a forecast for: the future economic needs, why these needs must be addressed, how I envision these needs will be financed and conclusion.

The subject of insurance and how heavily the government can mandate it or not mandate it is a constant struggle in politics. There is always the question of “what kind of relationship should the government have with its people and what role should it play with businesses?” Currently, a popular subject is the Affordable Care Act (Obamacare) and it is challenging the boundaries by requiring people to have health insurance and requiring businesses to offer health insurance to everyone and anyone. Mandating insurance is a hot button subject in other areas too that we will discuss like auto insurance, workers’ compensation insurance, and professional malpractice insurance.

In America, we not only have the problem of the non-insured but the under insured which causes just about as much problem as the underinsured. Each group has contributed to the vast growing cost of healthcare. Over the last decade or two, the amount of uninsured has risen due to the job market in the economy and the fact that most insurances are tied to employment, which is also a problem as the unemployment rate rises. The purpose of this paper is to explore this issue.

“The amount people pay for health insurance increased 30 percent from 2001 to 2005, while income for the same period of time only increased 3 percent.” (Source: Robert Wood Johnson Foundation). The rising cost of healthcare is a huge problem in America today. In this paper I will analyze the different issues and causes for the increase in cost.

The complexity of health care could take the rates on a massive trajectory that does not favor the people covered. Therefore, the financial protection that the levels of health insurance covers, help to guard against the risks related to the unexpected costs of health care. The source of coverage could still have an impact by the insurance coverage and financing alternatives that one has access to; Conversely, private insurance, social insurance, and the national health services are the types of healthcare systems by funding and provision. As we look to health care coverage and the reform of Obamacare, I’ll analyze the impact of the uninsured in the industry and look for a resolution to improve the

Healthcare is essential to the nature of our well- being, it provides some financial relief to individuals or families during doctor or hospital visits. Medical care is very expensive, and without health insurance it can be even more of a financial burden. However, being able to afford health insurance has been a challenge for a lot of family’s. For some, they must choose whether to feed their families, pay utility bills or make monthly health insurance payments; so, they allow the insurance to laps. The

The first problem faced by the Americans after the health care reform entered into force, is the growth of insurance fees. Insurance companies, in order to protect themselves from the increased risk of payment for the treatment of their clients, have raised fees for their services. Therefore, many healthy citizens were against this law because they did not want to take payment for the increased risk of insurance companies. Now, there is a monopoly on the market which allows the companies to set higher prices, and the government provided them by law that all the citizens will have to buy their services. Thus, the authorities of the country provided a steady income for their insurance organizations using the citizens

Most working class Americans get healthcare insurance through their employer and or purchase their coverage through a private insurance. What most of us don’t know is how the premiums we pay for our coverage are calculated. Cost of premiums area a direct reflection of the costs associated with our consumption of medical services. Cost of medical services includes doctor visits, hospital stays, and medical devices as our consumption of these services increase premiums also increase. (“America’s Health Insurance Plans - Premiums 101 – How Are Health Insurance Premiums Determined?,” n.d.)

There is a spacious room for lemon in insurance field. The price for health insurance is not fixed, it varies based on the level of the need an applicant may require for the insurance. As in the case of elderly people over the age 65, it is well known that it is very difficult for them to get health insurance because of its high price as they certainly will need it more than other applicants. On the other hand, employees working in companies are offered health insurance as a part of the companies’ policies and regulations. This actually create more room for lemon in the insurance field and less chance for old people who need it more. This ended up with adverse selection by the insurance companies. (A.Akerlof, Aug