Insurance companies, yes, even health insurance companies are for profit business. Therefore, the more money you cost them the less desirable you are as a patient. Period. If you have too many claims to your insurance, also know as an illness you run the risk of being dropped as a liability or denied care.
Here’s the deal in English: If you have private insurance your insurance company has a contract with the provider. The provider can be a medical group or private provider. The contract specifies how much the insurance company will pay the provider for services.
For example, your provider charges $500 for a broken leg. The insurance company agrees to pay the provider $125 for your broken leg. That $125 includes your co-pay and/or deductible. That means if you have a $20 co-pay the provider will get a check for $105 from your insurance company and then provider writes off the $375 balance as a contractual adjustment.
For the record Medicare (seniors) pays the MOST out of all of the insurance companies. If a private insurer pays $125 for the broken leg Medicare will pay $200 including deductibles and co-pays.
If you have no insurance you pay the full $500.
I am infuriated by the outright LIES circulating this issue. Let’s face reality at some point either you are someone you love will experience an illness so should not have to sacrifice your life’s savings for health care. Yet another way to keep the poor, poor.
The implication is that those who can afford quality health care should have access to, it while the masses are under or uninsured.
The white house’s website has a plethora of valuable information on health care reform but here are the highlights: http://www.whitehouse.gov/realitycheck/
• Disability-Coverage cannot be denied because of preexisting condition. The national coverage will be more affordable for people who do not have insurance.
• There is no set requirement for employers.
• The bill will not force euthanasia. Stop trying to scare people!
• The government will not have direct real time access to your bank account.
Understand this is the way to go; When the insurance companies have to compete for your business they will have to change their focus.