With multiple reports and analyses suggesting the Patient Protection and Affordable Care Act will likely increase the cost of healthcare in the coming years – including one provided by the nonpartisan Congressional Budget Office – a new analysis suggests that premiums may not be as high as has been projected.
The Kaiser Family Foundation recently released a report, charting what premiums and rates may look like in 17 states and 18 cities where insurance marketplaces are scheduled to open on Oct. 1, including Los Angeles, Calif., Denver, Colo, Hartford, Conn., Indianapolis, Ind. and Baltimore, Md.
"A wide range of premiums exist across the 18 cities, with tax credits varying based on enrollees' income levels and the second-lowest-cost 'silver' plan available in each market," the report stated. "Eligible enrollees may use their tax credits to help pay for the silver plan or any other generally available plan in the marketplace, including the less generous – and less costly – 'bronze' plan."
Larry Levitt, senior vice president for Kaiser, told Bloomberg that there's "intense interest" among consumers about what rates will look like next year.
"For the most part insurers seem to find this market attractive and they're pricing accordingly," said Levitt.
He added that what has served as his biggest surprise – especially given the amount of time and attention paid to the ACA raising healthcare costs – is that some bronze plans are particularly inexpensive. Catastrophic protection is especially low cost.
As consumers tried to wrap their heads around the ACA and all it entails, many business owners remain in the weeds. According to a recent article in The Washington Post, the various definitions of what qualifies as "essential" employee benefits and how to determine whether a worker is part- or full-time is causing a substantial amount of confusion.
