Denial of Coverage: Individual Health Insurance
USA Today recently published an article “Individual health policies leave many in the lurch” by Julie Appleby.
In her piece, Julie provides a real life example of one family’s struggle to get coverage for their son because he was short for his age, which was perceived by carriers as a potential sign of a more serious condition. The family had to pay his medical expenses out of pocket for two years before getting test results indicating the child was completely healthy.
“Denial of coverage” is a real issue for many of the 47 million uninsured Americans seeking individual health insurance coverage. Group coverage provided by employers covers everyone, but carriers are much more selective with individuals, which leaves many uninsured stranded.
What is being done?
-Some states such as California and Connecticut have pursued insurers that revoked coverage when policy holders became sick.
-Maine, Massachusetts, New York, New Jersey, and Vermont require insurers to sell to everyone, regardless of pre-existing conditions. (Whether individuals can afford the premiums is another issue.)
-Health care reform is a hot topic in the presidential race.
-Many agree that changes need to be made that would allow access to health insurance to everyone, regardless of pre-existing medical conditions.
We will continue to monitor changes in the individual health insurance market. Be advised that not all insurers deny coverage based on the same pre-existing conditions, a reason to compare multiple carriers for coverage and rates.
