How Much Will Health Insurance Cost in 2018?

Insurance Rates Have Increased Since 2014
It seems that insurance rates are always on the incline. The increase this year over last year is not something new. Since the Affordable Care Act was written into law in 2014, those seeking insurance have seen a dramatic increase each year. A recent study by Kaiser Family Foundation has reflected an average increase of up to 28 percent over that time period. This study was conducted for 21 major cities across the U.S. According to their findings, the state you live in could affect your cost of insurance. The KFF revealed that some states have a greater increase than others. The 28 percent average increase came from Tennessee. In Georgia, their average increase was just 5 percent; Washington had a 2 percent average increase, while Delaware experienced an average 22 percent increase. It goes to show; where you live matters in determining insurance rates.Factors that Will Determine Health Insurance Costs for 2018
How much insurance rates will increase in your state in the future is still up in the air for most insurers. With questions surrounding the funding of cost-sharing reduction payments and the easing of the individual mandate law. Let’s take a quick look at each of these and how they impact the cost of insurance for 2018. Cost sharing reductions are basically a discount toward your health insurance. The reduction helps lower the amount you have to pay for deductibles, co-payments, and co-insurance. You must, however, qualify for this “extra savings.” You will find out if you quality during your application process. There are two ways to save on your insurance.- Premium Tax Credit -this discount will be based on your income and household information you put on your application. It can lower your monthly premium, and you can use it in any plan category.
- Extra Savings -this discount is in addition to the Premium Tax Credit. In addition to the premium savings, you will also have a lower out of pocket maximum. These are a combination of, as discussed earlier, your deductible, co-insurance, and co-payments. If you qualify for the Extra Savings portion, you will be limited to purchasing a health insurance
- The plans keep increasing, and there is no reimbursement of expenses the insurance companies are paying.
- The individual mandate is eased. Fewer people will enroll with the threat of tax penalty looming over their head.