Affordable Care Act Raises Spending For Recently Insured

As the Affordable Care Act (ACA) brings more sufferers into the healthcare system, spending is on the rise, particularly on chronic diseases, like diabetes, heart disease and depression.

Blue Cross Blue Shield (BCBS) backs this point in a new report by indicating that newly insured members tend to require more healthcare compared to individuals who already had coverage through the insurance company – either privately or through their employer.

This increase in demand for services has led to increases in healthcare costs for private contributors, like BCBS. On average, healthcare costs for newly insured individuals were 19% higher in the year 2014 and 22% higher in the year 2015 than individuals who already had employer-based coverage.

Newly insured sufferers whose first year of coverage took place in the year 2014 or 2015 used more medical services across all kinds of care compared to those who had already been insured. These services involved visits to the emergency department, inpatient hospital admissions, outpatient visits, and filled prescriptions.