ArtsAutosBooksBusinessEducationEntertainmentFamilyFashionFoodGamesGenderHealthHolidaysHomeHubPagesPersonal FinancePetsPoliticsReligionSportsTechnologyTravel
  • »
  • Health»
  • Health Care, Drugs & Insurance

Five Potential Causes of Higher Health Insurance Costs

Updated on March 22, 2015
The need for medical care can rise and fall. Unfortunately, its cost only seems to go up.
The need for medical care can rise and fall. Unfortunately, its cost only seems to go up. | Source

Paying for health insurance is a significant financial burden for many families in today’s economy. Of course, that burden can become even heavier when the rates you pay for your medical coverage go up. In some cases, these price jumps are due to situations or events outside your control, while in others they may be caused by factors you can control. Either way, understanding why your health insurance costs may rise can help you properly plan for your financial future.

# 1: Jobs and Hobbies

Being hired for a new job or taking up a new hobby can have an impact on your health insurance costs in some cases. For example, individuals with potentially dangerous careers, like firemen or policemen, may face a surcharge simply due to their increased risk of injury (and therefore, of needing expensive medical treatment).

Individuals with particularly dangerous jobs are more likely to pay higher premiums for medical insurance.
Individuals with particularly dangerous jobs are more likely to pay higher premiums for medical insurance. | Source

# 2: Aging

The aging process is one factor that, unfortunately, cannot be controlled, but it will impact your insurance costs nonetheless. The older a person gets, the more likely they are to find themselves needing medical care – and the frequency and complexity of that care will increase as well. There are exceptions to this rule, of course, but as a general principle it holds true. Naturally, insurance companies deal in general principles when setting their rates. For that reason, the older you get, the more likely you are to pay more for your medical coverage.

As you age, the amount you pay for health insurance will tend to rise.
As you age, the amount you pay for health insurance will tend to rise. | Source

# 3: Legislation

Regardless of your political persuasions, it cannot be denied that major pieces of legislation like the Affordable Care Act – more commonly known as Obamacare – has significantly raised health insurance costs for many consumers already, and will continue to do so as the massive program is fully implemented. People from different parts of the political spectrum simply disagree on whether this extra cost is justified; that it exists, however, is certain.

The Affordable Care Act, ironically, resulted in far less affordable health insurance for millions of Americans.
The Affordable Care Act, ironically, resulted in far less affordable health insurance for millions of Americans. | Source

# 4: Higher Costs

The costs to insurance companies of paying for treatments are rising significantly – costs which they must pass along to their customers if they are to stay in business. The Journal of the American Medical Association reports that 42 percent of doctors think their patients actually receive more treatment then they should. This excessive treatment likely has a variety of different causes, but one significant one is thought to be the significant increase in frivolous malpractice lawsuits. If doctors are afraid of being sued if a patient does not recover immediately, they are understandably more likely to recommend more treatments – even those that are not strictly necessary – to minimize their liability.

Rising costs for medical treatment are eventually passed on to consumers in the form of elevated health insurance premiums.
Rising costs for medical treatment are eventually passed on to consumers in the form of elevated health insurance premiums. | Source

# 5: Economic Trends

Finally, you may have noticed prices for many recurring expenses – not just health insurance – going up over time. In many cases, economic trends like inflation are responsible. Inflation can make the price of most items rise, sometimes substantially, even in the absence of any other factors that might elevate their costs. Inflation’s impact can be particularly noticeable on expenditures like health insurance that take place at regular intervals over the course of many years. The exact rate of inflation can vary depending on economic policies and other external factors, but it is unfortunately a unavoidable part of life for most people.

Which statement best sums up your attitude toward health insurance?

See results

What other causes of a jump in health insurance rates have you noticed?

    0 of 8192 characters used
    Post Comment

    No comments yet.

    working

    This website uses cookies

    As a user in the EEA, your approval is needed on a few things. To provide a better website experience, hubpages.com uses cookies (and other similar technologies) and may collect, process, and share personal data. Please choose which areas of our service you consent to our doing so.

    For more information on managing or withdrawing consents and how we handle data, visit our Privacy Policy at: "https://hubpages.com/privacy-policy#gdpr"

    Show Details
    Necessary
    HubPages Device IDThis is used to identify particular browsers or devices when the access the service, and is used for security reasons.
    LoginThis is necessary to sign in to the HubPages Service.
    Google RecaptchaThis is used to prevent bots and spam. (Privacy Policy)
    AkismetThis is used to detect comment spam. (Privacy Policy)
    HubPages Google AnalyticsThis is used to provide data on traffic to our website, all personally identifyable data is anonymized. (Privacy Policy)
    HubPages Traffic PixelThis is used to collect data on traffic to articles and other pages on our site. Unless you are signed in to a HubPages account, all personally identifiable information is anonymized.
    Amazon Web ServicesThis is a cloud services platform that we used to host our service. (Privacy Policy)
    CloudflareThis is a cloud CDN service that we use to efficiently deliver files required for our service to operate such as javascript, cascading style sheets, images, and videos. (Privacy Policy)
    Google Hosted LibrariesJavascript software libraries such as jQuery are loaded at endpoints on the googleapis.com or gstatic.com domains, for performance and efficiency reasons. (Privacy Policy)
    Features
    Google Custom SearchThis is feature allows you to search the site. (Privacy Policy)
    Google MapsSome articles have Google Maps embedded in them. (Privacy Policy)
    Google ChartsThis is used to display charts and graphs on articles and the author center. (Privacy Policy)
    Google AdSense Host APIThis service allows you to sign up for or associate a Google AdSense account with HubPages, so that you can earn money from ads on your articles. No data is shared unless you engage with this feature. (Privacy Policy)
    Google YouTubeSome articles have YouTube videos embedded in them. (Privacy Policy)
    VimeoSome articles have Vimeo videos embedded in them. (Privacy Policy)
    PaypalThis is used for a registered author who enrolls in the HubPages Earnings program and requests to be paid via PayPal. No data is shared with Paypal unless you engage with this feature. (Privacy Policy)
    Facebook LoginYou can use this to streamline signing up for, or signing in to your Hubpages account. No data is shared with Facebook unless you engage with this feature. (Privacy Policy)
    MavenThis supports the Maven widget and search functionality. (Privacy Policy)
    Marketing
    Google AdSenseThis is an ad network. (Privacy Policy)
    Google DoubleClickGoogle provides ad serving technology and runs an ad network. (Privacy Policy)
    Index ExchangeThis is an ad network. (Privacy Policy)
    SovrnThis is an ad network. (Privacy Policy)
    Facebook AdsThis is an ad network. (Privacy Policy)
    Amazon Unified Ad MarketplaceThis is an ad network. (Privacy Policy)
    AppNexusThis is an ad network. (Privacy Policy)
    OpenxThis is an ad network. (Privacy Policy)
    Rubicon ProjectThis is an ad network. (Privacy Policy)
    TripleLiftThis is an ad network. (Privacy Policy)
    Say MediaWe partner with Say Media to deliver ad campaigns on our sites. (Privacy Policy)
    Remarketing PixelsWe may use remarketing pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to advertise the HubPages Service to people that have visited our sites.
    Conversion Tracking PixelsWe may use conversion tracking pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to identify when an advertisement has successfully resulted in the desired action, such as signing up for the HubPages Service or publishing an article on the HubPages Service.
    Statistics
    Author Google AnalyticsThis is used to provide traffic data and reports to the authors of articles on the HubPages Service. (Privacy Policy)
    ComscoreComScore is a media measurement and analytics company providing marketing data and analytics to enterprises, media and advertising agencies, and publishers. Non-consent will result in ComScore only processing obfuscated personal data. (Privacy Policy)
    Amazon Tracking PixelSome articles display amazon products as part of the Amazon Affiliate program, this pixel provides traffic statistics for those products (Privacy Policy)