Health Insurance Rate Increases in 2004

What We Know About Health Insurance Rate Increases in 2004

In 2004, it was estimated 45 million Americans were without health care coverage. What might shock you is that the largest number of the uninsured have a household annual income ranging anywhere from twenty thousand to forty-five thousand dollars. Why are so many people uninsured if they have jobs? Many Americans have found they cannot keep pace with the health insurance rate increases of 2004. And even for those who are covered under an employer's group plan are not without financial pain. For employees covered under an employer's group plan, premiums increased an average of 11.2%, the fourth consecutive year of double digit growth. One reason for this increase is the cost of health care. Another reason for this increase is due to the limits that employers are placing on benefit dollars. All of this means that Americans are taking more dollars out of their own pockets to attempt to have coverage despite hikes in health insurance rates.

A Closer Look at Health Insurance Increases of 2004

Health insurance rates in 2004 were impacted by a variety of factors including an ever expanding and expensive array of new medications, a high tech approach health care, shortages of workers and an aging population. All of these factors combine to push the health care system into charging more for services to meet costs. Additionally, the increasing numbers of uninsured or underinsured still need services and the cost of providing that care falls back on the paying consumer.

Health Insurance Increases of 2004 and Beyond

There is no expectation that our rate of spending for health care will drop. It's anticipated that health care costs will rocket to $1.9 trillion in 2005. That's 100 billion more than what was spent in 2004. The fact is that health insurance increases in 2004 and beyond are expected to continue. There are also growing trend of individuals and employers to opt for plans which have fewer benefits, less comprehensive coverage and higher deductibles in order to control costs as best they can.

Health Insurance Nexus | US : The US Health Insurance Resource, conceptualized in Dec, 2004, is an online portal which provides up-to-date, pertinent information about health insurance in US..