Why is Medical Insurance So Costly

The major reasons why healthcare insurance is has such high premiums today is that medical procedures cost a lot and are probably over used. Doctors now routinely perform many ultra-expensive operations that were unknown a generation ago. Our unhealthy lifestyles also play a role. We need health care more as our society becomes less healthy.

One way to lower our costs for hospital and doctor insurance would be to lower the number of bypass operations and angioplasties that are performed. In the good old days of low-cost health insurance, these interventions were performed much less frequently.

Of course reducing the number of operations without reducing the necessity for those procedures would simply result in lives being shortened. The unwanted side effect of lowering costs is often lowering effectiveness.

A tremendous percentage of medical expenses are generated in the last years or even months of life. In an attempt to extend life we often will spare no expense.

From a purely dollars and cents standpoint, extending the useful life of a forty year old helps our country more than extending the life of an eighty year old. Chances are the forty year old is working and paying taxes. If she or he were to die she or he would stop paying income taxes. If he or she were to become disabled they would not only stop paying taxes, but might also start receiving money from the government in the form of government benefits. Extending the life of an eighty year-old who has stopped paying earning contributing to our GDP or taxes and who is currently receiving government benefits has the reverse effect.

Although we shouldn't make all of our decisions based on money, we should at least be conscious of the fact that helping today's tax-paying workers continue to be tax-paying workers puts more money in our pockets that we can use for other things. Those other things can include extending the life of our retired citizens.

Unless you are a president, there is probably not a lot that you can do to change what health insurance expenses for everyone else. However, there may be a lot you can do to keep health care expenses down for yourself and your family.

Do what you can to stay well. Being active and eating nutritious foods in moderation will do several things for your medical expenses including the cost for insurance.

If you are more healthy you will utilize your health insurance less often. This means that you will have fewer co-pays and other out-of-pocket expenses to pay. You will qualify for better rates if you need to purchase private or individual health insurance.

Shop around for health care insurance. Look at not only different medical insurance companies, but different places to get insurance from. If you are eligible for COBRA, for example don't just look at COBRA. Consider private health care insurance as well.

Hospital and Doctor insurance is expensive for several reasons. Many of the reasons that it is so costly are beyond our control. However, we can take the time to research the medical insurance options available to us and do what we can to stay hale and hearty and thereby decrease prices for ourselves and our families.