Certified patient advocates standing by


Blog Detail

Why is Health Insurance so Expensive?

Why is Health Insurance so Expensive
08 Feb 2020

It is no secret that health insurance is an expensive but necessary thing to have. But why is it so expensive? Many of the factors are out of your control, unfortunately. So smart decisions are important when it comes to health insurance. Let’s look at some reasons why health insurance is so expensive.

Rising Costs of Healthcare and Treatment

The biggest reason why health insurance is so expensive is that the cost of healthcare is so expensive. The cost of basic screenings, testings, and regular check-ups has increased. And of course, the new advanced technologies and treatments are expensive as well. With the cost of these things rising, the cost of health insurance rises as well.

Health Insurance Operating Costs

When a person pays their monthly premium, you are paying directly into the services and medications you receive (prescriptions and doctor services). However, you are also paying into the insurance companies’ general operating costs. This includes things like fraud monitoring, customer services, regular licensing and fees, technology, and administration. While the majority of premium payments do go into paying for healthcare claims, operating costs are still a small factor.

The Rise of Obesity and Chronic Illness

The rise of healthcare costs, and ultimately health insurance costs, can be attributed to the chronic disease and obesity rates on the rise. According to NIH,

Chronic diseases are among the most prevalent and costly health conditions in the United States. Nearly half (approximately 45%, or 133 million) of all Americans suffer from at least one chronic disease, and the number is growing. Chronic diseases—including, cancer, diabetes, hypertension, stroke, heart disease, respiratory diseases, arthritis, obesity, and oral diseases—can lead to hospitalization, long-term disability, reduced quality of life, and death.

The costs associated with treating these chronic illnesses are already high and they are expected to continue to grow.

High Price of Prescription Drugs

Drug companies can basically set price points for prescription drugs because they go largely unopposed. A trip to the pharmacy can give a person serious anxiety when they see the price and rising drug prices are outpacing all other areas of healthcare spending.

Many Americans find the cost of health insurance to be a real problem in their lives. One way you can help with the costs is with prescription assistance. If you are interested in getting more information on how to get involved in a prescription assistance program, RX123 is the best place to start. We truly want all applicants to get accepted as quickly as possible and we will do whatever possible to make that happen for you and to achieve this goal. For more information or to get started in your application process, you can contact us at 888-344-8915. Get the help you need today and let’s get started on your prescription assistance as soon as possible. Now is the time to get the assistance you deserve in an easy process. Let us be your advocate for you through this process!