child U.S. insurers stop offering health plans
A number of private insurers in the U.S. health say they will stop selling individual policies only children safe in some or all states in which to do business. The change comes as various provisions of the revision of the Obama health care came into force on Thursday, six months after the legislation became law.
The provision for one-child policy “prohibits insurers from excluding children from coverage because of health conditions pre-existing, if they offer these policies. The White House had claimed that 72 000 children without health insurance would be able to get immediate coverage under this provision.
But now it seems that instead of adapting their policies in accordance with the provision, insurance companies no longer offer one-child policy “for sale. Current policies, only children will remain in force.
The action takes place in the five largest publicly traded health insurers based on the inscription, Wellpoint Inc., UnitedHealth Group Inc., Aetna Inc., Cigna Corp. and human Inc. According to the Los Angeles Times, experts estimate that about 500,000 children nationwide currently without health insurance suffer from the decision of the giant health insurers.
Thousands of children could be forced to Medicare and the Children’s Health Insurance Program (CHIP) programs jointly administered by the states and the federal government already strained by the state budget crisis. Working and middle class families who are not covered by the employer to their children, but whose incomes are too high to qualify for these public programs, will be left without coverage and health care costs potentially astronomical.
Measurement of insurance is a telling indication of what to expect from the health insurance industry as legislation passed by Congress in March begins to take effect. Claiming that the provision on the plans only child is removed too much of their bottom line, insurers are simply drop coverage. They have also said that in order to comply with other provisions of the legislation which will raise premium rates.
The for-profit insurers claim that families with children to wait until they get sick before you purchase coverage, producing an excess of young patients to insure. In announcing his intention to “suspend the sale of one-child policy,” Anthem Blue Cross, the largest for-profit insurer in California, stated that the provision “has created a competitive environment without a level.”
Cigna spokeswoman Gwyn Dilday told the Los Angeles Times, “We made the decision to stop the policy of offering only child so we can stay competitive in the 10 markets where they sell individual and family plans.” In a statement, Aetna said it made the decision “to protect our members’ current price increases.”
The administration had advised Obama insurers could solve the “unfair playing field” issue by issue policies only during designated enrollment periods. Insurance companies say that families deal with the work of the system of shopping around when their kids get sick to see what businesses are at the stage of registration.
The White House reacted to the announcement of the schedule of the insurance it would stop selling the one-child policy. Obama press secretary Robert Gibbs, said in a press conference, “Obviously it’s very unfortunate that insurance companies continue to make decisions on the backs of children and families who need help.” The reality, however, is that there is no enforcement mechanism in the bill to force health insurers to issue policies for children.
The Obama stated during the debate in Congress one year on health care reform legislation to ensure that no one can deny coverage because of health conditions pre-existing. The truth is that health reform was never designed to improve health care or affordable to ordinary Americans, but adapted to the profit interests of insurance companies, pharmaceuticals and private hospital chains .
Another provision going into effect on Thursday, would prohibit the imposition of limits for life insurance medical benefits. Also as of now, insurers are not permitted to place customers disease coverage due to “technical” errors in applications.
Insurers are also required to provide coverage to people under 26 years of age in the policies of their parents. Some prevention procedures must also be covered without co-payments.
The Obama says his legislation to reduce costs to maintain the increased health care costs to a minimum of 1 or 2 percent over the next year. Insurance companies, however, have made clear that the requirements placed on the industry under the new legislation comes at a price higher premiums and / or reduced coverage.
Karen Ignagni, president of Health Plans American Insurers (AHIP), the group of commercial insurers, said earlier this month, “The new health reform law mandates that health insurance coverage includes a wide range of new benefits beyond what many families and small businesses and buy. “She added:” It’s a basic law of economics that the additional benefits incur additional costs. ”
In a letter sent to AHIP on September 9, Health and Human Services Kathleen Sebelius, Obama said the administration “does not sit back and blame their insurance premium increases and increased benefits offered to requirements basic consumer protection “and said it would be his” zero tolerance “for such behavior.
The truth is that HHS health law gave little power to stop private insurers use the new law as a pretext to increase its rates. In his letter, Sebelius cited a weak mechanisms that the government should use: the publication of a record of any “unreasonable” increase in premiums for public display.
In the case of insurance requirements only children, major insurers have chosen to simply turn over a new policy for coverage. Even in 2014, when the bill will require health care for all adults to obtain coverage, there is no requirement that insurers offer individual policies for children.
December 1st, 2010 at 3:32 pm
health plans may be expensive but it is really very necessary to get one for yourself -*.