The pandemic has created a lot of problems and highlighted several more social issues in our society. But the one silver lining from it is how much consumer demand for health transparency and literacy has improved. With that in mind, we want to know why our health costs are still skyrocketing. So we’ve compiled a list of the common factors that affect healthcare costs - some of them are basic, and others not so much. Without further ado, here’s why health costs are still rising:
1. Unhealthy lifestyle:
The largest cost factor of rising health costs is the existence of chronic conditions. Most of these conditions occur due to unhealthy lifestyle choices in the form of smoking, drinking, gluttony, etc. The thing about these conditions is that they’re often avoidable if individuals take good care of themselves and their bodies.
2. Expensive prescription drugs:
Prescription drug companies keep increasing their prices. Most of these drugs are often lifesaving and extremely essential, making several middle class families question the motives of companies in raising their prices. Former President Trump had signed an order to limit the prices of drugs since the drugs have not significantly changed over the past few years, and they are distributed at much lower rates in countries other than America. The pharmaceutical market would require more federal legislation for real change to occur in providing wider offerings, more competition, and consequently lowering prices.
3. Wrong treatment:
Very often, picking the wrong treatment process (like going to the ER for a cold) can drive up costs astronomically. One pro tip is to avoid calling an ambulance unless absolutely necessary, because you can easily rack up your bill just by getting a ride in an ambulance.
4. Ill-suited health plans:
Choosing the wrong health plan for your lifestyle can increase your monthly bills significantly. Consulting an agent such as NY Small Health can help you figure out exactly what coverage and how much of it you/your business requires. Since NY Small Health works with companies like Excellus (a Blue Cross Blue Shield company serving Rochester and Syracuse regions) which offers a whole range of benefits and individual plans, you’ll be able to gauge what companies exist, what plans they offer, and how their costs and terms compare to other companies.
5. Poor health literacy:
Most millennials barely understand insurance terms because they appear too complicated and heavy to unpack. Yet, not being health literate can cause you to choose health services that are either too basic or too expensive, instead of the smarter options available.
At the end of the day, health costs aren’t fully unmanageable. Talk with an experienced, ‘been-there-done-that’ agent and learn what you can do to minimize your health costs.