A recent study by the Society of Actuaries suggests that health insurance costs in Indiana are slated to rise by more than 67%. The rise in the cost will majorly affect the individual health insurance policies and are a side effect of the President Barack Obama’s new health care policies.
Hoosiers’ medical claims are slated to increase as well, according to the Society of Actuaries. The health insurance market as a whole is supposed to face inflation in some of the drivers that are going to ramp up prices, one of the more controversial findings in the recent study.
Even more alarming for Indiana residents is the contention that our state faces the second-largest predicted increase in health care costs thanks to the Affordable Care Act.
What do all of these numbers mean for Hoosiers, and how will they affect your Indiana health insurance coverage?
While most states are looking to increase their Medicaid program, but it is still uncertain for Indiana. According to another study more than 800,000 Hoosiers under 65 years do not have any kind of health insurance at all. University of Nebraska Medical Center performed this study, that suggests that the State of Indiana is likely to see $3.4 billion invested in the health insurance sector under the Affordable Care Act. Lawmakers and policy framers are currently trying to bring about a solution to cover the 400,000 Indiana residents who don’t qualify for Medicaid but are also ineligible to participate in health insurance exchanges in Indiana.
With the current state of affairs, if more people could be introduced into Medicaid it would positively affect the economy for the state. An increase in introduction of uninsured people would help bring down the health insurance costs for all persons who are currently insured, both individuals and family.
Under Indiana’s current benefit forecast, individuals could possibly save on an average of $236 per year, whereas families could save upwards of $677 per year. Hospital stays eat into these figures quite a bit — Currently the uncompensated expenses in a hospital take a toll on the commercial insurers, thereby inflating the price for other people who are insured.
With an increase cash injection in Indiana in the health insurance sector, the 10-county Northeast regions alone is supposed to experience an economic benefit of $70 million to $90 million over the period of upcoming seven years. It is also expected to create another 3,000 jobs over the next few months.
While Indiana has recently lifted the $40,000 income threshold for residents to receive state benefits, in order to bring more people under the scope and provide better health insurance services to its residents, Indiana would definitely have to expand its horizons and perspective. As the next few months play out and the Affordable Care Act comes into play, many local insurers are going to have to rethink their insurance plans in for Indiana residents.
It is a safe bet to say that healthier and economical living goes hand in hand when it comes to Indiana. An increase in the number of residents with insurance will surely also help bring down the prices of health insurance.