According to a poll by the Kaiser Family Foundation, Americans in 2009 placed the costs of health care very high on their lists of major concerns. While general inflation grew by about 28 percent since 1999 and wages increased by about 38 percent, health care premiums rose by more than 130 percent. Even though the advantages of health care coverage are immense, the rising costs should be weighed against the costs of not having insurance.
Protection
Health care coverage protects consumers from financial catastrophes that could devastate a family if anyone becomes seriously ill. Kaiser Family Foundations researchers report that health insurance is the means by which people can protect themselves from financial ruin caused by the extremely high costs of health care. Through health care plans, consumers can pool their resources to negotiate better rates form healthcare providers and provide coverage for those with the greatest needs. By spreading the risks and the costs, healthcare coverage is more affordable for most people.
Access
Health care coverage ensures that covered individuals have access to the medical care they need. Those with an insurance card typically receive services in a timely manner from the providers who accept the coverage, knowing they will receive payment for their services. People with health insurance coverage have access to specialists often denied to those without insurance. Long-term follow-up care, physical therapy and extensive testing are some of the services extended to those who carry insurance coverage. Traditional individual policies allow covered individuals to choose a healthcare provider, while those who rely on public assistance must see the doctors chosen by the state or local entity providing the services.
Regulations
Both state and local governments, assuring consumers a certain level of coverage, regulate the insurance industry. Insurance companies and brokers who sell coverage must be licensed by the state in which they work, protecting consumers from fraud. Insurance companies must prove their financial stability and ability to pay the claims as they are presented. Claims are guaranteed by state governments when insurance companies fail. Rules exist to protect consumers from being denied access for a number of reasons. Terms and policies must be standardized to protect citizens and create consistent industry practices. Additionally, state-licensed health insurance companies must offer a number of mandated services to their customers including mental health benefits, breast reconstruction following a mastectomy and substance abuse treatment. Rules also are in place that govern the ability of customers to renew their policies within a certain period of time without a physical examination, ensuring continued coverage.
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