Affordable insurance exchanges are based on a theory that they will encourage competition among insurers and provide consumers with a specific location for finding the best health insurance they can. While their availability is anticipated in 2014, the Federal budget allots money for and many state governments have already begun work to create the affordable insurance exchanges for their states.
Those against healthcare reform primarily worry about the Federal role in creating and maintaining the exchanges and those for healthcare reform supporters worry that individuals will be separated out based on their healthcare needs. Both concerns have merit but it makes sense to pursue the affordable insurance exchanges as a means of encouraging transparency and convenience for insurance shoppers.
It is also noteworthy that although members of Congress and their staff will be required to use the exchanges many other Federal workers will not which perpetuates the best plans being available to those with bargaining power with health insurers offering, "We'll give you more customers in exchange for better rates."
We also don't yet know whether Congress members and their staffs will be given a pay raise that essentially will transfer possible additional costs from health insurance purchased over the exchanges into additional pay benefits making the participation of Congress in the healthcare exchanges more of a "gesture" than a means of equalizing the playing field for consumers shopping for their own health insurance.
Rules for implementing the exchanges include some that indicate that your experience using an affordable insurance exchange to shop for insurance can vary drastically based on your state. Consumers should follow their affordable insurance exchange as it develops in their own states.
An especially troublesome rule is that states can limit the insurers they permit onto the exchange. It is not clear how the states will limit insurance company participation and whether consumers will miss out on affordable opportunities because of this option.
Overall however, the new rules which are extensive,covering hundreds of pages for state run and federally subsidized healthcare exchanges seem to be a step in the right direction.
Much of the criticism from insurers comes from threats that they'll have to raise their prices to cover increased administrative costs, a common insurance company threat that never seems to be accompanied by a similar promise to keep rates down if specific administrative actions aren't taken.
It's a while away and may be impacted by the current pending Supreme Court consideration of healthcare but the affordable insurance exchange for health insurance shopping could be good for consumers.You can read more about the new rules for implementing the affordable insurance exchanges on the Department of Health and Human services website at HHS.gov.
