The cost of medical services is a source of concern for many Tennessee residents. High insurance premiums, large out-of-pocket expenses and unexpected bills all put a strain on people’s wallets. Therefore, it may be distressing to hear that the costs of medical care are rising at an alarming rate.
According to Money Talks News, the price of medical care rose 1 percent between July and August of this year. While that may not sound like very much, consider that it represents the largest monthly change in costs since 1984.
The cause for the increase may be due to a number of different of factors, reports Fox News. A study of one of the biggest insurers in the country who has the largest number of patients in the health insurance exchanges created by the Affordable Care Act found that many of the new enrollees they are taking on are high-risk patients. Higher outputs by insurers then lead to increased premiums for consumers.
In particular, the study found that new subscribers had more prescriptions and more doctor visits. They also had more diagnoses of conditions such as:
So while the ACA has undoubtedly resulted in more workers having coverage than perhaps ever before, insurers have been forced to offer plans with high deductibles and increase the costs of premiums to compensate for the fact that some of the people signing up for coverage through the exchanges are not as healthy. If prices continue to rise, it remains to be seen whether participation in the exchanges by carriers will continue.