COST OF HEALTH INSURANCE



 

Cost of health insurance is affected by many factors. The print media detail the specific factors driving the cost of healthcare. These factors include: general inflation, advances in drugs and other medical devices, rising hospital and doctor expenses, government mandates, increased consumer demand, litigation, fraud, and cost shifting. Will medical premium keep on rising? The basic answer is that a magic bullet to solve the cost of insurance does not exist. The real reason for this is the difficulty in controlling the cost of healthcare. A simple way to dramatically decrease the dollars spent on healthcare is to reduce the demand for healthcare.


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It is estimated that nearly 40% of all healthcare related expenses result from preventable conditions. These preventable conditions are caused by lifestyle choices such as tobacco, obesity, stress, lack of exercise and poor diet. Most of us make lifestyle choices everyday that eventually increase our demand for healthcare. It is not possible to totally eliminate all lifestyle related healthcare costs. However, improved lifestyle choices would cause a dramatic reduction in demand. This would then result in a similar reduction in the dollars spent on healthcare.

 
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When the demand for health care decreases, it would result in lower health insurance costs, increased productivity, and reduced absenteeism. All organizational leaders need to seriously consider the benefits of health promotion and disease prevention programs. If this is done, return on investment will most likely be as high as 2:1 in the first year.

 
See Also :
 
The self employed should seek health insurance
 
• Cheap Health Insurance and Personal Health Insurance
 
• Control The Cost Of Your Health Insurance
 
 
 
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