I would almost like to add to Will Rogers’ statement that there are two things certain in life: death and taxes – and also increases in insurance rates! The minute you take out insurance just remind yourself that next year the rates WILL INCREASE.
Rates on individual plans always increase when you move into a new age bracket. Usually the brackets are from 20-24, 25-29, 30-34, etc., but not always. So if you move from age 34 to 35 be assured that your premium will be increased. Also rates go up due to inflation. When we speak of inflation, we are not just talking about general inflation but inflation of medical costs. General inflation may be running at three percent per year, whereas medical inflation is nine percent. If that is the case, you will get the nine percent increase.
Then there may be an added increase in premium because the plan you are on was priced too low and the company is now losing money on that “Book of Business.” The claims of all the people on the plan you took out were so great that the company had a losing year on that plan; therefore, they increase the rates on everyone on the plan to get out of the red.
But, in spite of the above, do remember that your rates will not increase because of your individual medical condition or your claims alone.
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