11:41:10 AM PDT - Friday, August 7th, 2020

Don’t Count on Lower Premiums Despite Pandemic-Driven Boon for Insurers  

By Editor - Fri Jul 31, 3:07 am

When COVID-19 smacked the United States in March and April, health plans feared medical costs could skyrocket, jacking up premiums drastically in 2021, when millions of the newly unemployed might still be out of work. But something else happened: Non-COVID care collapsed as hospitals emptied beds and shut down operating rooms to prepare for an expected onslaught of patients sickened by the coronavirus, while fear of contracting it kept people away from ERs, doctors’ offices and outpatient clinics. In many regions of the country, the onslaught did not come, and the billions of dollars lost by hospitals and physicians constituted huge savings for health plans, fattening their bottom lines. But that doesn’t mean consumers will see lower premiums next year. Numerous insurers across the country have announced plans to hike rates next year, though some have proposed cuts.

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Don’t Count on Lower Premiums Despite Pandemic-Driven Boon for Insurers

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