As of January 1st, any insurance company offering individual policies must issue a policy to any legal resident who applies, without regard to pre existing conditions or health status. \u00a0Premiums are based only on your zip code, age and whether you smoke. \u00a0There are no annual or lifetime caps on how much the insurance company may have to pay. \u00a0Other than fraud, the policy cannot be canceled.<\/p>\n
There is a risk that only the very sick will ultimately sign up. \u00a0Why would an insurance company get involved?<\/p>\n
The answer is risk corriders.<\/p>\n
If the money paid out exceeds the permitted premiums by more than 5%, the federal government will cover 50 to 80% of those cost overruns.<\/p>\n","protected":false},"excerpt":{"rendered":"
As of January 1st, any insurance company offering individual policies must issue a policy to any legal resident who applies, without regard to pre existing conditions or health status. \u00a0Premiums are based only on your zip code, age and whether … Continue reading