As the nation’s economy continues to improve, there is still a concern about the rise in health care costs. During the recession, increasing medical costs were treated like a national crisis. It also led to a new law being passed; the Affordable Health Care Act. This law created a number of new initiatives for patients, such as minimum coverage, prohibitions on denying coverage due to prior conditions, and the like.
Opponents of the Affordable Health Care Act were concerned that it would actually increase costs despite the benefits it would provide. However, it appears that the Act is stemming the increases. A recent U.S News Health Care Index report indicates that the increases in healthcare spending are slowing dramatically, and unexpectedly (at least for the opponents).
There are a number of explanations for this trend. For one, there are fewer people out of work compared to past years. When many people lost their jobs in the last recession, they lost their healthcare insurance with them. Now that people are working again, they are less likely to spend as much on their own since they have insurance.
Why does this matter to older Americans? It is important because projections suggest that this trend will continue. With more people dependent on Medicare and Medicaid, it is critical that they understand what is paid for through these programs and what they will be personally responsible for paying. When on fixed incomes, planning and conserving money is essential.
If you have questions, an experienced care planning attorney can help.