Wednesday, February 2, 2011

private health insurance. Is there any limit to how high they can raise your monthly premium if you get sick?

I was thinking about getting private health insurance but I was reading an article on dividedwefail.org about a couple who got sick and their monthly premiums rose to $1100 a month. so is their any limit to how high they can raise premiums. If I got really sick could they just raise my premiums so high till I can't afford it and then drop insurance all together so they don't have to pay anything.
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No. But they don't rate it like car insurance, based on your claims. Once you have a health insurance policy, as long as you keep paying the bill and keep the policy and don't change coverage, you'll pay the same premium as everyone else in your age category. So if, say, you get something horrible and have $500,000 of bills, your rates don't go up because of the illness. There aren't surcharges or rate increases based on usage. That couple who got sick, that's not what made their premiums rise to $1100 a month. They changed plans or something. And, just for the record, $1200 a month is about average for a FAMILY health insurance plan. Usually an employer picks up a big chunk of the tab for it, so you don't usually pay that much unlessl you're self employed.
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