Understanding Premium Changes and Available Options

Understanding Premium Changes Under the ACA

The Affordable Care Act (ACA) provides health insurance coverage to millions of Americans. While the ACA has been successful in reducing the number of uninsured individuals, it has also faced challenges, including rising premiums.

According to the Kaiser Family Foundation, the average annual premium for employer-sponsored health insurance has increased by 22% since the ACA was implemented in 2010. These increases have been driven by several factors, including rising healthcare costs, changes in the insurance market, and the phasing out of certain ACA subsidies.

Factors Contributing to Premium Increases

Rising Healthcare Costs: The cost of providing healthcare has been rising steadily for decades. This is due to a number of factors, including the increasing use of expensive medical technologies, the aging population, and the rising cost of prescription drugs.
Changes in the Insurance Market: The ACA has created a more competitive insurance market, which has led to lower premiums for some people. However, it has also made it more difficult for people with pre-existing conditions to get affordable coverage.
Phasing Out of ACA Subsidies: The ACA provides subsidies to help people afford health insurance. These subsidies are being phased out for some people, which has led to higher premiums for those individuals.

Available Options for Reducing Premiums

If you are facing a premium increase under the ACA, there are a few things you can do to reduce your costs:

Shop Around for a New Plan: There are many different health insurance plans available on the ACA marketplace. You may be able to find a plan with a lower premium that meets your needs.
Consider a Higher Deductible: A higher deductible means that you will have to pay more out-of-pocket before your insurance starts to cover costs. However, a higher deductible can also lead to lower premiums.
Get Help from a Navigator: Navigators are trained counselors who can help you understand your health insurance options and find a plan that meets your needs.

If you are struggling to afford health insurance, you may be eligible for Medicaid or other government programs that can help you cover the cost of your premiums. You can learn more about these programs by visiting the website of your state’s Medicaid agency.

Additional Resources

[HealthCare.gov](https://www.healthcare.gov/)
[Kaiser Family Foundation](https://www.kff.org/)
[National Association of Insurance Commissioners](https://www.naic.org/)