Obesity Health Insurance: Should Fat People Pay a Penalty just for Being Fat?

Obesity Health Insurance

Obesity Health Insurance

Charging obese policyholders more is a hot topic among private health insurers. The rationale is twofold. First, fat people are more likely to develop expensive health problems. Second, fat can be avoided or reduced through exercise and healthy eating. If we charge fat people more for health insurance—or charge thin people less, which amounts to the same thing—people will improve their habits.

Insurers have been moving aggressively in this direction. But there are two different ways to implement such “wellness incentives.” Some employers reward workers just for participating in wellness programs. Others peg their rewards to the bottom line. Hit the weight target, or you don’t get the discount.

Too Fat for Health Insurance?

Overweight Health Insurance

Did you know that being overweight can reduce your chances for health insurance? The reasoning is simple: overweight individuals cost the company more in health insurance costs.

Overweight Health Insurance

So you’re in perfectly good health, but you say to yourself, “I should get some health insurance.” If you’re fat, most insurers will turn you down. “That’s illegal, isn’t it?” you say. “Can they do that?” Well, they can and they do. You can be declined for the insurance on the basis that you are outside their accepted weight limits.

The underwriters use a system for determining your height and weight calculations to determine acceptable ranges. The correlation of the two defines a number called the BMI or ” body mass index” and gives the underwriters an estimate of body fat.

Buy Health Insurance Online without Hassle

Buying health insurance online has become easier thanks to the Internet.  Looking for health insurance policies online is now the quickest way to get a handle on your options.You’ll find lots of valuable information online and hundreds of health insurance sites that want to sell you a health insurance plan. Shopping around and making an informed decision will take some time.

Read This Before You Buy Health Insurance Online

If you are looking to buy health insurance online, be aware of the following risks. Health insurance is a complex product and involves many complex issues. Online insurance sites are usually automated to handle massive numbers of transactions, and therefore will try to generalize about you. See if the website has a phone number and try calling it,
ask them if they are licensed in your state.

Buy health insurance online

Before you buy health insurance online:

1. Make sure you can qualify before you buy health insurance online: If you don’t live in a state that is guaranteed issue then you need to be aware of how any pre-existing health conditions you have could affect your ability to qualify for coverage.

2. Be aware that maternity coverage isn’t automatic when you buy health insurance online: It is important to know that individual health insurance plans don’t automatically cover maternity benefits. So when you decide to buy health insurance online and if you are planning to get pregnant, be sure to buy a plan that covers maternity care. If you can’t find a plan with maternity coverage, you may need to look for a plan that offers maternity as a rider. The rider is added to the primary policy and the policyholder pays an extra amount of premium for the rider.

3. Before you buy health insurance online, carefully study the fine print: Be clear on what you need and make sure the health insurance plan will cover it. Don’t assume that everything is covered. Research health insurance plans online and talk to a licensed agent to educate yourself.

5. Avoid gaps in health insurance coverage: Always stay covered. If you have a gap in coverage, you may not be able to qualify for coverage when re-applying for health insurance or when you decide to buy health insurance online again.

Individual Health Insurance is More Affordable

Individual Health Insurance 2009

The latest in a series of AHIP surveys shows that the market for individually purchased health insurance coverage is more affordable and accessible than may be widely known. Below are the key findings:

• Approximately 87 percent of applicants undergoing medical underwriting were offered individual health insurance coverage. Offer rates varied from a high of 95 percent for applicants under age 18 to 71 percent for applicants aged 60-64.
• Twenty-nine (29) percent of offers in the survey were at standard premium rates; 36 percent were offered at lower (preferred) rates; and 34 percent were offered at higher-than-standard rates. Approximately 6 percent of offers included “condition waivers,” i.e., coverage exceptions for specified conditions, and about 6 percent included a rate applicable to smokers.
• Nationwide, annual premiums averaged $2,985 for individual health insurance coverage and $6,328 for family plans in mid-2009. For single policies, annual premiums ranged from $1,350 for persons under age 18 to $5,755 for persons aged 60-64. For family policies, premiums ranged from $2,573 for policies covering children under age 18 to $9,952 for families headed by persons aged 60-64.
• Individual health insurance coverage was held by people of all ages. Forty (40) percent of single policies were held by people aged 45-64; 37 percent were held by people between 25 and 44 years old; and 23 percent were held by people aged 24 and under. Likewise, 53 percent of family policies were purchased by families headed by people aged 45-64; 42 percent were held by families headed by persons aged 25-44; and 5 percent were held by families headed by individuals aged 24 or younger.

Nine out of ten non-elderly Americans with private health insurance receive it through their employer. This is the main reason why the individual health insurance market is often unfamiliar, not as well understood, and considered too costly to buy. However, as the above-mentioned survey shows, that individual health insurance is becoming more affordable, so if you’ need to obtain an individual health insurance policy, don’t let any confusion tempt you to go without.

Individual Health Insurance Plans to Compare

Individual Health Insurance Plans

There are plenty of individual health insurance plans to choose from. Learn more about individual health insurance plans to protect you and your family.

Individual health insurance plans are ones purchased on the private market, not tied to workplace benefits. They are called “individual” health insurance plans, however, they can cover you and your family.

Although the latest in a series of AHIP surveys shows that the market for individually purchased coverage is more affordable and accessible than may be widely known,  the cost is probably the most confusing aspect of individual health plans, so it’s worth your time to shop around. For example, health insurance premiums for similar health insurance policies from different insurance providers can vary by as much as 50 percent for the same person. Be aware, though, that sometimes finding the plan with the low cost isn’t the best solution, it’s finding quality health insurance at a competitive price.

You can use this free health insurance costs calculator to compare health insurance options that you might be offered at work or when comparison shopping for individual health insurance plans.  This calculator allows you to compare two health insurance plans at a time, with consideration for monthly premiums, co-payments, deductibles and co-insurance payments. Premiums vary considerably by state, reflecting a variety of factors, including premium rating and underwriting rules, differences in health care costs, demographics, and consumer benefit preferences. For example, average annual premiums for single policies ranged from $2,606 in Iowa to $6,630 in New York in 2009.

If you’ need to obtain an individual health insurance policy, don’t let any confusion tempt you to go without. Even if you’re healthy, you could fall off a ladder or have a serious car accident and be forced into “medical bankruptcy.”

Remove health insurance from your worry list. Health insurance for individuals, group health insurance, medicare supplemental and short-term health insurance.

Health Insurance for Individuals and Families

Health Insurance For Individuals

The Senate’s Christmas Eve achievement brought the nation closer than it’s been for generations to a new order in health insurance. It would eventually require nearly all Americans to get individual health insurance coverage, help many pay for it and restrict insurance company practices such as denying coverage to people with pre-existing sickness.

Meanwhile, a new cost estimate for the Senate bill has come out. The new estimate says that H.R. 3590, the Patient Protection and Affordable Care Act, would cost about $7,300 per U.S. family.

Insurers use a person’s age and other variables to figure out the price of an individual health insurance policy. Older people often have to pay more because they tend to generate more claims. But the Senate bill limits how much more insurers can charge for older customers.

That means people under age 30 likely will see a “substantial increase” in the cost of health insurance for individuals – making them less inclined to buy individual health insurance – while older people will see a smaller decrease.

Individual Health Insurance Options

You have a number of options when shopping for individual health insurance:

• Managed Care Plans

• Fee-for-Service Insurance

• Open Enrollment in Managed Care Plans

• Association-Based Health Insurance

• High-Risk Pools

To get the most affordable health insurance coverage, it’s important to shop around and compare individual health insurance policies and plans. A first step could be to decide how much you can afford to pay. Then, you can look for health insurance for individuals that will give you the best health coverage for you and your family at that price.