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Effects of the Covid-19 Pandemic on Health Insurance

Effects of the Covid-19 Pandemic on Health Insurance

The COVID-19 pandemic has sent the world on a lockdown, put an unprecedented strain on the primary healthcare services around the globe, and had a severe impact on practically all industries. Travel and transportation to retail and manufacturing, its fangs have reached all sectors, leaving each stagnant and static. And while its impact on the health insurance industry has been relatively less, it is still going to see its effects for long, disrupting business continuity and operating profit.

A coronavirus pandemic is an unforeseen health emergency that the world is still struggling to grapple with. In such a scenario, it is important to communicate with your insurance provider regarding your coverage. With eHealth Insurance, you can make a quick and informed decision on shifting from one insurance policy to the other or getting a new one. It has over 10,000 plans from 180 companies, one of the biggest selections on a single platform in the US. This means that you can pick the policy that caters to your case exclusively with the best possible price, all done without bias. eHealth offers insurance for both individuals and families as well as small businesses.

Ways in Which the COVID-19 Pandemic Has and Can Affect Health Insurance

The U.S. has been one of the worst-hit when it comes to the COVID-19 pandemic. And needless to say that like every other sector, it has also left a lasting impact on its health insurance companies.

Higher Premiums in the Future:

It comes as no surprise that the cost of COVID-19 testing and treatment has put a strain on the financial goals of health insurance companies now that private institutions have been allowed to test and treat. People are claiming their insurance while the carriers have seen an average drop of 48% of their market value since the coronavirus crisis. Hence, as a natural coping mechanism, premiums are expected to go higher in 2021 in the range of 4-40% to cover the costs of the coronavirus affected patients. In that case, you can rely on eHealth Insurance to find you the insurance policies that offer you advantageous coverage without draining your capital resources on massive premiums.

A Change in How Health Insurance Designed

Being in the middle of an active pandemic, it is no rocket science that our health is tied to national health. One person testing positive puts the other people in their community at risk, increasing the strain on both health care and insurance services. Hence, going forth, insurance policies ought to be designed in such a way as to incorporate individual as well as community health and its effects on access to care. The policy should co-pay to channel the resources towards the greatest health benefit without any co-pays for coronavirus testing. While looking for the right insurance is indispensable in securing your and your loved ones’ health and their access to health care in terms of a crisis, many people tend to shy away from the research and settle on the first policy they are introduced to. eHealth Insurance provides unbiased suggestions through online tools based on your income, health care requirements, lifestyle, age etc to find the policies that cater to you most effectively.

A change in the Financial Outlook

The current situation is seeing an increased claims ratio which in turn is impacting profitability, budgets, cash flows, capital requirements, etc. of health insurers. Hence, now is a good time to prioritize optimisation programs to reduce cost, increase capacity and quality to provide an effective and enhanced customer experience. Insurers are also facing lower returns from traditional investments and that is likely to continue due to the current state of volatility in the market coupled with low to 0% interest rates. Therefore, it makes sense for firms to take the COVID-19 pandemic as a lesson in casting its net wide and looking at new business opportunities such as policies providing pandemic coverage, cash flow coverage, force majeure exposure coverage, etc.

Releasing the Ties Between Employment and Health Insurance

At a time when people’s jobs and their health is on stake, it is hard to not see the vulnerability of a health insurance plan that is tied to one’s employment. People are worried about losing their jobs and consecutively, their insurance. As individuals, we will have to look at health insurance as not something that comes as a supplement to our job, but that which should be paid primary attention to as soon as we secure a stable income. eHealth Insurance can help you find the insurance policies that cater to individuals and families in the most affordable manner. You can find all the best policies in the U.S. in one place and compare the benefits. A licensed insurance agent will be guiding you through the process to make it free of hassle and confusion.

Conclusion

As we have stated, coronavirus spread has impacted the functioning in all sectors and left people in a state of constant anxiety, insecurity, and stress. In such a situation, it is the responsibility of health insurance providers to stand by and support their customers. However, as people investing in and using health insurance during times of crisis, we must also dedicate time, energy, and attention towards the policy we sign up for. Trust eHealth Insurance to guide you through what is an exhaustive process through a few easy steps that make buying insurance as easy as online shopping.

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