The Dark Side of Health Insurance Profits: How They’re Hurting Patients
The general public’s perception of health insurance companies is that they exist to provide people with financial protection and peace of mind in case of unexpected medical emergencies. Unfortunately, as with most industries, there is a darker side to health insurance profits that’s hurting the very people they’re supposed to help. This article will explore the ways insurance companies prioritize profits over patients and how it’s affecting access to healthcare, skyrocketing costs, and compromising the quality of care.
The Profit-Focused Insurance Industry
One of the biggest issues with health insurance companies is that they’re for-profit businesses, and their primary goal is to generate financial returns for their shareholders. To do this, they will prioritize the financial bottom line over the health of their customers.
For instance, insurance companies may deny coverage or access to necessary medical treatments or procedures that may run up their costs. It puts patients at risk of not getting the care they need, leading to more significant and costly health issues that could have been prevented with timely treatment.
Moreover, insurance companies may impose high deductibles and copayments that patients must pay out of their pockets. It can result in individuals avoiding necessary treatment due to the inability to afford the costs, leading to worse health outcomes, and higher overall healthcare costs.
Access to Healthcare Barrier
Insurance companies are putting up significant barriers to healthcare access, causing challenges for many people to access necessary medical care. One of the significant ways this is happening is through the narrow network. Insurance companies are limiting patients to specific doctors, hospitals, and clinics- called the network- that are covered by their plans. Patients are expected to pay significantly more when using out-of-network providers.
Furthermore, insurance companies deny or restrict access to preventative and critical treatments that patients need when they’re sick. It’s increasingly becoming common for insurers to deny coverage for necessary medical treatments, such as medications, to avoid expenses. This move is hurting individual’s health and wellbeing, and in some cases, leading to avoidable deaths.
The Impact on Healthcare Quality
The practices of health insurance companies affect the quality of care patients receive, placing doctors and patients’ health care providers in a tricky position. Health insurers use their bargaining power to dictate what treatments and medications are available and what amounts they’re willing to pay.
It’s increasingly becoming common for doctors and healthcare providers to suffer from burnout and mental health issues, with many confessing to feeling like they’re fighting the insurance industry more than resolving patients’ health issues. With the insurance industry dominating healthcare, healthcare providers spend more time negotiating with insurers and performing bureaucracy than adequately treating patients.
The Way Forward
The for-profit nature of the health insurance industry incentivizes insurance companies to act against what’s best for the patients and their well-being. The industry needs significant reforms to ensure all Americans have access to the best quality and affordable healthcare possible.
To achieve this, policymakers must regulate the industry to ensure it’s balancing the goals of profitability and philanthropy. To increase health access and affordability, insurers must be held accountable and be transparent in how they develop their networks, communicate with their customers, and ensure they’re covering treatments and medications.
Without significant reforms, the for-profit nature of the health insurance industry will continue to put financial gain ahead of patient care, leading to inflated costs, poorer health outcomes, and a more significant divide between the healthcare haves and have-nots. It’s time that policymakers and insurance companies change the way things are handled to serve Americans better.
