30 Second Insurance Tips©

Tip #306- Introducing: The American Health Care Act

Please watch Speaker Ryan make the introduction here; a video that, in just 24 minutes, explains the key components of the AHCA and, the process and timing by which he expects it will become law.
Wanting more detail, I looked to the House Energy & Commerce Committee’s more formal “Budget Reconciliation Legislative Recommendations Relating to Repeal and Replace of the Patient Protection and Affordable Care Act.” All 123 pages are here.
An observation.
Health insurance premiums are simply a pass-through of the underlying cost of health care. Did the insurance reforms of Obamacare address the cost of care? What about more insurance reforms through the AHCA; e.g., how will buying across state lines lower costs, unless I go to another state to get my care?
The individual market is clearly in need of repair. State based risk pools and reinsurance programs could actually help.
But the rising cost of care will continue unabated so long as volume is rewarded, as is the case under our perverted discounted fee for service payment model.
How will Health Savings Accounts fix that?