Rate Increase For 2019

Rate increases for insurance plans are annoying for the average person. People have been spending more on health insurance now than ever before. Rates are consistently climbing each year. There were major spikes in 2017 and 2018 at about 5 percent. The 2019 rate increase is only at a meager 2.25 percent. Navigating through the sea of shifting rates is a struggle for everyone.


Historically, rate increases are much lower in urban areas. This is generally attributed to the lower-income demographic being more numerous in urban areas. There has been a steady increase in rates since 2015 except this year. Each company has a different rate increase or decrease each year. It is important to know which companies are most stable and which ones fluctuate more.

Rate Increase Causes

A study was done by the Journal of the American Medical Association in 2017. It showed the national average of healthcare-related spending. Spending rose by nearly a trillion dollars. Reasons for this increase include government policy and lifestyle changes. Because of these two reasons, rates have seen a large increase. Costs are raised as people age and health care is in higher demand. The United States population of the elderly is rapidly growing, causing prices to spike. Another lifestyle influence is the increase in chronic illness like diabetes and heart disease. These two diseases alone account for almost 85 percent of all health care costs. These increase the demand for medical services. In addition to the lifestyle changes of the aging population, government programs like Medicare and Medicaid have increased overall demand for medical services.

Rate IncreasePrevention

There are many factors that cause health insurance rates to increase. Because of these factors, solutions are being tested are employer-sponsored wellness programs, increased reliance on medical technology to remove inefficiencies. This helps to achieve greater transparency and get lower costs. They are often out of the hands of the general public. For individuals, the best way to reduce cost is to maintain a healthy lifestyle and have regular checkups. These help to avoid the development of long-term, unforeseen health problems.

Empower Brokerage is dedicated to helping you reduce insurance expenses and to find the proper coverage for you and for your family.

Please call us for a no-nonsense quote or for friendly advice. There’s never any pressure and we’re here to help.

(844) 410-1320

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