Rates Lead To Oncoming Disaster
Illinois health insurance will soon be facing dramatic change, since according to
the Beacon News, the previous health plans were driving the State to the brink "financial ruin."
Until now, the health care needs of state workers and retirees were well-met in the state of Illinois. So much so that a $48 billion dollar bill may be impossible for the state to pay. Under the old health plans, retirees paid nothing for health insurance if they had 20 years of service. The state subsidized 80 to 100% of insurance premiums, and retirees became eligible for these benefits at 55.
But the cost of Illinois health insurance has been steadily growing, just as it has been doing in every state of the nation, adding up to about 14% per year since 2000. Meanwhile revenues have only grown 4% annually. In other words, the rising cost of health insurance rates are bankrupting the state, and in mid 2008 a new
Health Insurance Mandate Proposal takes effect.
As of 2008, all residents will be required to obtain health plans through their employers, public health programs, or private insurance. Everyone will be forced to find affordable health coverage on their own, and all employers will have to provide it.
Well, fat chance.
Not to be pessimistic, but if Illinois is anything like the rest of the country, health insurance rates will simply be too high for many employers or private individuals to afford. As it is, in most states a family will pay $7,000 a year for basic insurance. That's an increase in 80% over the last 10 years. Meanwhile, the minimum wage hasn't budged in almost that long, making it impossible for hard working Americans to afford their own health coverage.
Facts on:
Illinois Health Insurance
Did you know...
Health insurance has been steadily growing up to about 14% per year since 2000.
|
Hopefully, most savvy shoppers will find some respite in the newer "cafeteria style" health insurance options popping up to feed the needs of the public.
Online health plans can be good news too, since these companies are more competitive than many larger organizations.
It's sad to hear about what will happen to Illinois health insurance, not just because of changing policy, but because of the struggle that will most certainly come out of it. In the meantime, we will continue to offer the most affordable coverage on the market, and keep an eye out for some better news in the future.
Current Topic:
Recent Topics:
