Question

Describes the evolution of private health insurance from the 1930’s beginning to current state?

Please cover all aspects so that i can make PP deck from it . Need to make 12-15 slides.

Thanks in advance.

Answer 1

1) Ans) Private health insurance policies cover some of the costs of treatment in a private hospital. Insurance can also help cover 'extras' other medical services such as dental, physiotherapy, optical and more. Find out how Health helps to improve the private health insurance industry.

It is useful to recognise the spectrum of arrangements that range from purely private,
for-profit commercial insurance to purely publicly funded and publicly managed
insurance.

The evaluation of health insurance coverage data on the NHIS is not new, and surprisingly many of the same issues in obtaining information on health insurance that the
The evaluation and editing procedures involve a number of distinct operations, but there are several main components. Detailed manual coding of the plan names provided by respondents who indicated coverage from a private source or selected public sources

1930 's:
Blue Cross Designed to Reduce Price Competition among Hospitals

Pre-paid hospital care was mutually advantageous to both subscribers and hospitals during the early 1930s, when consumers and hospitals suffered from falling incomes. While the pre-paid plans allowed consumers to affordably pay for hospital care, they also benefited hospitals by providing them with a way to earn income during a time of falling hospital revenue.

Originally, the reason for this exemption was that Blue Cross plans were considered to be in society’s best interest since they often provided benefits to low-income individuals

1940-1960: Growth in the Health Insurance Market

After the success of Blue Cross and Blue Shield in the 1930s, continued growth in the market occurred for several reasons. The supply of health insurance increased once commercial insurance companies decided to enter the market for health coverage. Demand for health insurance increased as medical technology further advanced, and as government policies encouraged the popularity of health insurance as a form of employee compensation.

Growth in Supply: Commercial Insurance Companies Enter the Market

Blue Cross and Blue Shield were first to enter the health insurance market because commercial insurance companies were reluctant to even offer health insurance early in the century.

The first such exclusion occurred under an administrative ruling handed down in 1943 which stated that payments made by the employer directly to commercial insurance companies for group medical and hospitalisation premiums of employees were not taxable as employee income

While this particular ruling was highly restrictive and limited in its applicability, it was codified and extended in 1954. Under the 1954 Internal Revenue Code (IRC), employer contributions to employee health plans were exempt from employee taxable income. As a result of this tax-advantaged form of compensation, the demand for health insurance further increased throughout the 1950s

The 1960s: Medicare and Medicaid

The AMA and the Defeat of Government Insurance before 1960

By the 1960s, the system of private health insurance in the United States was well established. In 1958, nearly 75 percent of Americans had some form of private health insurance coverage. By helping to implement a successful system of voluntary health insurance plans, the medical profession had staved off the government intervention and nationalized insurance

They realized that the only way to enact government-sponsored health insurance would be to do so incrementally — and they began by focusing on the elderly.

Offering insurance to aged persons age 65 and over provided a means to successfully counter several criticisms that opponents to government-sponsored health insurance had aimed at previous bills. Focusing on the elderly allowed proponents to counter charges that nationalized health insurance would provide health care to individuals who were generally able to pay for it themselves

Expenditures in both programs rose dramatically in the late 1960s as the programs began to gear up. Then, Medicare expenditures in particular rose sharply during the 1970. This growth in Medicare expenditures resulted in a major change in Medicare reimbursement policies in 1983. Instead of reimbursing according to the “usual and customary” rates, the government enacted a prospective payment system where providers were reimbursed according to set fee schedules based on diagnosis. Medicaid expenditures were fairly constant over the 1970s and 1980s, and did not begin to rise until more generous eligibility requirements were implemented in the 1990s. By 2001, Medicare and Medicaid together accounted for 32 percent of all health care expenditures in the U.S.

2000 The Medicare, Medicaid, and SCHIP Benefits Improvement and Protection Act (BIPA) effectively reversed some of the cuts to the three named programs in the Balanced Budget Act of 1997 because of Congressional concern that providers would stop providing services.

2003 The Medicare prescription drugs   improvement and modernization act also known as the Medicare Modernization Act or MMA) introduced supplementary optional coverage within Medicare for self-administered prescription drugs and as the name suggests also changed the other three existing Parts of Medicare law.

2010 The patient protection affordable care act called PPACA or ACA but also known as Obamacare, was enacted, including the following provisions

2015 The Medicare access and CHIP reauthorization act(MACRA) made significant changes to the process by which many Medicare Part B services are reimbursed and also extended SCHIP

2017 DONALD TRUMP is sworn in as President, signs EXECUTIVE ORDER 13765 in anticipation of a repeal of the Patient Protection and Affordable Care Act, one of his campaign promises. The AMERICA HEALTH CARE ACT is introduced and passed in the House of Representatives and introduced but not voted upon in the Senate