Problems With Health Insurance Coverage

The growing cost of health care and health insurance has resulted in across-the-board problems with health insurance coverage. People are finding it more difficult to obtain affordable health insurance coverage, and being employed does not necessarily make that any easier. As health care costs have soared, so have the costs of providing insurance to businesses, costs that are being passed on to employees.

No Coverage

• One of the biggest problems with health insurance coverage is a lack thereof. People who are unemployed or do not qualify for coverage under a spouse or parent's coverage are unable to get health insurance coverage, mostly due to cost issues. While COBRA benefits from a former employer or individual health insurance plans are available, many people cannot afford the high premiums associated with these plans.

Pre-existing Conditions

• Being ineligible for coverage with an employee-sponsored plan or an individual plan due to pre-existing health conditions often presents a problem for those who need coverage most.

  People who have never had group health insurance coverage who are now employed by an organization that offers health insurance benefits may find that they have to wait several months for coverage due to pre-existing health conditions. These conditions may also make temporary coverage impossible or too expensive to obtain.

  Those who have pre-existing conditions and are unemployed or no longer covered by a relative's benefits may experience even more difficulties. Individual health insurance policies may be impossible to obtain, or can only be obtained at such a cost that they are unaffordable.

Ineligible for Coverage

• Many people who are employed nevertheless find themselves without health insurance coverage. Small employers may not offer coverage at all due to the cost of insuring their employees. Part-time or temporary employees may not be eligible for coverage under their employer's policy or policies set in place by the employer's health insurance company. Low wages associated with part-time or temporary employment often make purchasing individual health insurance financially impossible.

Expensive Coverage

• As the cost of health insurance has grown, many employers have been forced to pass these costs along to their employees, making health insurance coverage an expense that many employees are forced to eliminate.

  While employees can often afford coverage for themselves under an employer's policy, covering other family members, or purchasing a plan that covers more of the costs of health care, may be so expensive that employees choose to forgo this coverage.

Less Coverage

• The growing cost of health insurance has created another problem--paying more for less coverage. As the costs of premiums have soared, so have the out-of-pocket costs associated with health insurance, in the form of higher deductibles, higher co-pays, higher prescription drug co-pays, and fewer covered drugs and medical procedures. These higher costs mean that those with health insurance coverage are often postponing or going without health care or prescription medications altogether.