With the U.S. Supreme Court decision on King vs. Burwell, the subsidies are staying as the Justices ruled in favor, voting 6-3, for upholding the subsidies. Naturally, the impact of the decision won’t be immediately felt, but here are five ways you will benefit from King vs. Burwell decision.
The Subsidies are Staying
The most obvious, and most powerful, takeaway of the King v. Burwell decision is that the subsidies are staying in force. Millions of Americans no longer have to worry about continuing their health insurance policies without assistance on the cost. The subsidies will continue to make health insurance affordable and well within reach. But retention of subsidies is not only beneficial for the people, but for the healthcare industry as well. Let’s see how.
Health Insurance Premiums Will Continue To Be Affordable
Other than the regular yearly increase in the cost of Obamacare health insurance plans, premiums should not be going up anymore. Plans are just starting to submit their plan premiums for open enrollment 2016. However with the few that have already been submitted and published, it looks like any increase will be minimal.
Quality of Care is Expected to Go Up
Without subsidies, the health insurance industry was looking at a high rate of uninsured. More than that, hospitals and doctors were worried about uncompensated care and the money spent on people without health insurance. Available statistics show that states were looking at $12 Billion in uncompensated care for the uninsured. Now, with subsidies intact, the states and hospitals can breathe easy and focus on what they can delivery – improved care quality and efficiency. With covered health insurance and a healthy insurance pool, hospitals and doctors need not worry about these challenges, and they can continue to invest their money in improving care quality for Americans.
More Choice in Health Insurance Plans
Continuing the trend of Obamacare plans, enrollees will continue to see better health plans at competitive prices on the marketplaces. With subsidies intact, health plans no longer need to worry about imbalanced risk pools and challenges in the market. They can strive and thrive with the current setup, and that requires introducing new, better health plans that can grab the attention of customers. So if you have been waiting to change your health plan for something better, this open enrollment should have some nice offerings that are right up your alley.
Increased Stability in Healthcare System
The American healthcare system, for the amount of money spent on it, is not impressive, and the health insurance industry admits that. Now that the subsidies are staying, there are a lot of other avenues where attention will be focused. How will that affect you? Well, you would experience a drop in healthcare costs, prescription drug costs, and improved care quality for the same dollar amount spent, and all of this will result from the stability in healthcare system brought about by Obamacare and its subsidies. Over time, the impact of Obamacare would be visible in your daily healthcare services and how you use health insurance, precipitated through a stabilized healthcare system.