SOURCE: MarketResearch.com

MarketResearch.com

June 20, 2011 11:18 ET

Healthcare Reform to Bring Coverage to 32 Million US Residents by 2019

ROCKVILLE, MD--(Marketwire - Jun 20, 2011) - MarketResearch.com has announced the addition of the new report "Impact of US Healthcare Reforms - the Extension of Care to 32 Million Uninsured Citizens from 2014 and Implications for the Pharmaceutical Industry," to their collection of Healthcare market reports. For more information, visit http://www.marketresearch.com/product/display.asp?ProductID=6408710

The US spent $2,486.3 billion on healthcare in 2009, higher than any other nation in the world. The per capita healthcare spending in the US in 2008 was $7,538, which was also higher than any other developed nation. Still, the US performs poorly on many health indicators, including life expectancy and mortality, compared to other developed nations. The reasons for this poor performance are the lack of universal access to healthcare, overspending by more than a trillion dollars per year and a faulty payment system that motivates the providers to offer excess healthcare services without any regard for the quality of service. The healthcare reforms in the US are trying to address these issues using various measures to improve healthcare access, reduce waste in the healthcare system and improve the quality of healthcare services.

The healthcare reforms constituted in the Patient Protection and Affordable Care Act (PPACA) and the Health Care and Education Reconciliation Act of 2010 (HCERA), will bring health insurance coverage to nearly 32 million non-elderly US residents by 2019. The provisions related to the expansion of health insurance coverage will start taking effect in 2014. Medicaid expansion to all non-elderly adults earning less than 133% of the federal poverty level (FPL) will account for 16 million new health insurance beneficiaries and the state-based health insurance exchanges will account for the rest. Improved access to healthcare as a result of this provision will result in increased demand for healthcare products and services, which will benefit various suppliers in the healthcare system including hospitals, pharmaceutical manufacturers, medical device manufacturers and health insurance companies.

State-based health insurance exchanges will start functioning in most of the US states in 2014. The state-based health insurance exchanges are government regulated marketplaces where health insurance companies can provide their offerings to buyers. The buyers here have the advantage of better information and competition, resulting in lower costs and better service for them. US state-based health insurance exchanges will initially offer health insurance to individuals and small businesses only, but by 2017 the states will have the option to expand access to medium and large businesses as well. State-based health insurance exchanges will also be the place where people with incomes between 133% and 400% of the federal poverty level will be able to get government subsidies in the form of tax credit for buying health insurance. The Congressional Budget Office (CBO) expects that in 2019, the state-based health insurance exchanges will collectively offer health insurance to 24 million individuals. The health insurance exchanges are expected to change the way health insurance is sold in the US and will bring more competition in the market.

For more information, visit http://www.marketresearch.com/product/display.asp?ProductID=6408710

About MarketResearch.com

MarketResearch.com is the leading provider of global market intelligence products and services. With over 300,000 research reports from more than 700 top consulting and advisory firms, MarketResearch.com offers instant online access to the world's most extensive database of expert insights on global industries, companies, products, and trends. For more information, call Veronica Franco at 240-747-3016 or visit www.MarketResearch.com.

Contact Information

  • Contact:
    Veronica Franco
    MarketResearch.com
    Email Contact
    240.747.3016