The federal government has vowed to lower their high risk health insurance premiums by close to 20% and offer new deductible plans for 2011.
Currently there are 23 states that the government oversees that will benefit – the rest are state ran and cuts won’t apply. These pools are designed for people that have pre-existing conditions that can’t purchase health coverage on the regular market.
Soon, in 2014, when the new health care reform act kicks in there will be no more need for this plan. This due to the new law will require companies to take all applicants.
These premiums due vary from state to state but on average, per Texas spokeswoman, monthly premiums start at $323 to $688. Originally, the plans had low enrollment due to costly figures – with the new rate cut enrollment increases wait to be seen.
Currently, the existing plan offers a $2000 deductible along with a $500 drug deductible – these coverages will not change. The Department of Health states 3 new plans will be offered at the beginning of the new year, instead of the now just one. These new plans will give consumers an option to choose from a lower deductible plan. The other two new plans will offer $1000 deductible at a higher rate and a new HSA (Health Savings Account) that carries a $2500 deductible.
Also being analyzed is a new category for children that have existing health conditions. Many insurers have stopped offer coverage all together but with new laws from the HHS, change is on the horizon.