Think the Health Insurance Marketplace has the highest premiums? Think again. A report by the Commonwealth Fund reveals that the ACA’s Health Insurance Marketplace is not the most expensive place to purchase health care.
The study came from extensive data research on the part of the Commonwealth Fund, derived from ACA-compliance information submitted by insurers to the Centers for Medicaid and Medicare Services Center for Consumer Information and Insurance Oversight.
Further filed information includes premiums and enrollment projections for health providers’ 2017 plans. While the data also reflects how the health insurance companies determine ACA-compliant premiums, it also proves that the exchange may be the way to go when it comes to purchasing health insurance.
While the initial assumption was the opposite, exchange-purchased health care saw less of an increase in plans-pricing—as plans purchased off the exchange were around $8 a month per member more than through the exchange. While that may appear to be a nominal discount for some when it comes to the price of plans, it still reflects how the Marketplace is, in fact, cheaper in many instances, and may stay that way. This may bolster the additional report information that shows a change in purchasing plans on the exchange over the course of two years.
In 2014, 28% of individual health plans were sold outside of the exchange; in 2016 that rate dropped to 17%. Ironically, the more costly and high-end plans (akin to the Platinum, Gold and Silver plans on the exchange) are still more frequently purchased off the exchange, while the lower end plans like the Bronze plans are purchased in both arenas. One thing is definitely true: as the Affordable Care Act continues to add and subtract from the Marketplace as needed, the popularity of the exchange is growing.
