July 20, 2012: At the moment, 90 percent of individual plans are more expensive for females.
The current practice called gender rating, which will be eliminated by health care reforms, has caused the premiums for 90 percent of individual plans to be more expensive for women than they are for men with the same policy.
Every year, women spend $1 billion more on their medical plans than they would without gender rating.
This statistic is according to a recent report that was issued by the National Women’s Law Center regarding gender rating and the difference it is making in premiums.
However, the health care reforms will ban this practice as of January 1, 2014.
The April medial tracking poll by the Kaiser Family Foundation has indicated that only a surprising 35 percent of Americans know that the health care reforms will be making this important change.
Regardless of whether individuals agree with the overall health care reforms and the Supreme Court’s decision about their constitutionality, the majority of Americans have been supporting the leveling of the medical premiums playing field for men and women for many years. In fact, the Kaiser Family Foundation’s poll showed that 6 out of every 10 people were in favor of that particular provision of the Affordable Care Act.
The poll also showed that 74 percent of Democrats agreed with the provision, as did 59 percent of independents, and over half (51 percent) of Republicans.
The reason that women tend to have higher medical insurance premiums than men is that they typically use more health care than their male counterparts.
This is, in part, because they are the half of the population who can become pregnant and who will give birth.
The health care reforms now allow four factors to be considered when calculating premiums.
These four factors are: family or individual enrollment, age of the beneficiary, the area in which the insured person lives, and whether or not the individual is a tobacco user.
These health care reforms will make a significant difference to the way in which the premiums are currently calculated, which includes gender and takes pre-existing medical conditions into account.
Source: John & Rusty Report via Word & Brown