Perspectives from Brokers
Brief Apr-01-2020 | | 1-min read
Health insurance brokers sell almost half of all Affordable Care Act (ACA) marketplace policies, as well as many non-ACA-compliant products, such as short-term plans. As changes in federal and state policy have caused turmoil in the individual health insurance market over the past years, brokers share insight on the impact of policy changes on consumers’ health insurance experiences. Researchers conduct structured interviews with brokers in seven states—Colorado, Georgia, Iowa, Mississippi, New Hampshire, Texas, and Utah—to learn about and assess market trends. This research builds off previous broker surveying conducted in 2018.
Across the seven study states, the individual market appears to be stabilizing. However, brokers are concerned about ACA marketplace policies’ increasing out-of-pocket costs, which they attributed to expensive premiums and so-called “narrow networks,” which require consumers to pay more for care provided out-of-network. Brokers say:
While many brokers applaud signs of stabilizing and healthier markets, there is still concern about premiums being unaffordable for consumers. Despite the higher commission some plans offer, many brokers refuse to sell products viewed as overly risky for consumers like short-term health plans or association health plans.
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