Athletes and Health Insurance
Mar 2nd, 2010
Why everything must in life turn into such an arduous chore before the athlete finally achieves his or her end goals? Every step of the way they must claw, fight, make concessions, and concede all in order to maintain a prominent position with a hockey team, baseball team, motorsports team, football team and more.. Go with the flow they say, yet it is more like trying to row up river against the rapids.
Trying to attain decent and respectable health insurance is one of those chores where you believe you are fighting a losing battle. The difficulties come in the face of not belonging to a large group where the insurance company has a better idea of how to rate you as all sports teams are not large.
Many of the insurance companies will send out an actuary who is familiar with the neighborhood. In this way the actuary is able to come up with figures based in fact rather than in theory. This is in part why health insurance premiums for the sports teams such as hockey, baseball, football, and tennis are so high. There needs to be more of a pool to theoretically span out the risk of incident.
The main concern of the insurance industry is to be certain the individual health insurance purchaser is healthy. The risk for any catastrophic incident is relatively low or the insurance industry will fold. This is also why there is more certainty in larger groups of insured. The shared risk among a large group waters down the catastrophic impact to the industry because everyone is paying into the same system.
When you have more healthy individuals in a pool, this will outweigh or counter those individuals who have health difficulties or need catastrophic surgery and treatment. It is very difficult for the insurance companies because they lose the health care statistical information they would ordinarily have when they are dealing with the various sports teams.
In essence, the smaller the potential insured group, the more difficult it becomes to determine the long-term payout when a health issue occurs. In this case the health insurance premiums are exorbitantly high to compensate the potential losses to the insurance company, not the individual. On the other hand low cost health insurance becomes much more affordable when dealing with larger groups as illustrated through a variety of medical health insurance studies.
The reason for this is because again, statistically the numbers are there and the favor jumps to the insurer and not the insured. Let us face the fact here, the health insurance business is just that, a business and if they are to have the ability to help millions of individuals daily there must be rules.
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