Carla often hears from readers that have been denied health insurance with a pre-existing condition such as celiac disease. The gluten free diet is expensive enough without having to worry about health insurance. The United States (US) and Europe (EU) have different laws regarding health insurance. In the US, it’s about to get easier. Read on to learn more.
So many insurance companies automatically decline those who apply for health insurance with preexisting conditions such as celiac disease. Currently under the Affordable Care Act, no child may be declined insurance for a preexisting condition. Beginning in 2014, no one may be declined health insurance with a preexisting condition from an employee health insurance because of a preexisting condition. Nor will they be able to charge you additional money for that condition.
In addition, most insurance policies will no longer have a lifetime cap on how much coverage you will be allowed in a lifetime. They will not be able to drop you when you get sick or increase your rate above 10%. As an added bonus to everyone, the insurance company must spend 80% of your premiums on your healthcare or they will need to send you a rebate.
However, when you purchase private health insurance (not through your employer), the rules are different. Any private insurance policy you purchased that began prior to March 23, 2010, will not fall under the protection of the Affordable Care Act. However, it does protect you by making sure you are able to appeal any denial of coverage.
The mandate for large employers to provide health care has been delayed until 2015.
However, in Europe, they have different laws. They provide all of their citizens with public healthcare if they cannot afford it. However, private health insurance is also available, like the one here in the United Kingdom (UK). Insurance in the UK is not free, though. The government takes out 18% in taxes from everyone’s pay check to cover this expense. Germany has a similar healthcare system. What are your thoughts on a similar system for the US?
This is a guest post by Aviva insurance.