Start Comparing Rates within Minutes!
Start Comparing Rates within Minutes and you could save!
Compare Rates Within Minutes!
- Complete 1 short quote form
- Compare rates from top insurers
- Save time & money!
Reform will cause rise in healthcare costsPosted On Tue, April 27, 2010
The debate over healthcare reform appears to keep on going, and recent news that its costs will rise is likely to cause even more friction.
Recent government reports from economic experts at the Department of Health and Human Services say that over the first 10 years of the reform, healthcare costs will rise, not fall. Instead of slowly reducing health-related costs, the coverage of the currently 34 million uninsured Americans using government programs will cause costs to jump.
While the estimated cost with healthcare rising is $311 billion, that price tag comes out to only 1 percent of the earmarked $35 trillion set aside for healthcare reform over the next 10 years. Chief Medicare actuary Richard Foster said in the report that certain provisions of the reform, such cutbacks in Medicare payments, would slow the rising costs of healthcare. "Although several provisions would help to reduce health care cost growth, their impact would be more than offset through 2019 by the higher health expenditures resulting from the coverage expansions."
The report also suggests that around 15 percent of hospitals could become unprofitable within the first 10 years of the healthcare reform.
Feedback or questions? Email the editor here.