Health Insurance Articles

Keeping Low Insurance Rates During 2012 Health Reform Changes

2011-12-30

Over the last several years, the health reform started by President Barak Obama's administration has been slowly changing the face of American health care. Amid health care cuts to try and level off nationwide debt, significant changes to the way that health care is administered have already occurred and will continue to happen over the next two years. 2012 health reform is on the horizon, and many consumers are concerned about keeping their insurance rates low even as the healthcare landscape changes.

There are several new reforms that will come into effect during the course of 2012, starting with the creation of accountable care organizations on January 1, 2012. The voluntary groups of physicians allow for better coordination of patient care and will hopefully help to limit the number of unnecessary hospital visits for patients. On March 1st, federal health programs will begin collecting data in order to locate and correct disparities in health care across the nation, and in October of 2012, the government will begin to impose regulations that will standardize billing and will also require health plans offered by private companies to start transitioning to the electronic transfer of data in order to save on paper costs.

For customers, 2012 health reform brings a number of concerns about the cost of their health insurance overall. While many of the measure implemented by the government are aimed at cutting costs in the long term and eliminating waste, clients are understandably concerned about what these new polices will mean for their existing providers. Transitioning to groups of physicians or changing the way in which data is recorded and transferred means that new administrative systems must be created, and customers wonder if these new systems will mean costs added onto their health care bill. The healthcare industry is reluctant to change, and new policies made by the government may cause a period of uncertainty and confusion, one that may be reflected in increased costs for service over the short term - and possibly the long term, as well as companies change their practices.

In order to ensure that low rates are maintain even during health care cuts and reform, it is crucial for customers to be clear about the costs of their healthcare and exactly what their monthly payment is funding. If possible, clients should consider locking into multi-year terms that include stipulations for no rate increases, and should review their policy documentation for rules about when costs can be raised and by how much. While it may not be possible to avoid increased costs completely, there are ways to limit the impact that 2012 health reform will have on insurance costs on a month-to-month basis.