Yes, No or Maybe: Will New Rules Lower Your Medical Costs

Click here to access our latest article published in Employee Benefit Plan Review, a leading resource for benefit decision-makers, providing industry news, market trends and peer-inspired insights about improving outcomes, enhancing the patient experience and lowering the cost of care. Author Jack Towarnicky, member of aequum, was appointed in 2023 to a three year term on the Advisory Council on Employee Welfare and Pension Benefit Plans, also known as the ERISA Advisory Council. This 15-member Council provides advice on policies and regulations affecting employee benefit plans governed by the Employee Retirement Income Security Act of 1974 (ERISA).

In this article, Jack acknowledges that Health Reform successfully achieved its goal through taxpayer-subsidized coverage, making health insurance affordable and available for individuals who do not have access to employer-sponsored coverage or Medicare.

However, while more than 40 million Americans experienced lower medical premium costs due to taxpayer subsidies, employer-sponsored coverage costs have risen for around 160 million Americans, with premiums soaring over 50% in the last 12 years, even though many more plans now incorporate individual deductibles that exceed $2,000.

The reality is, in today’s political and economic environment, employees and their employer sponsors are paying more taxes to provide others subsidized health coverage even though many American workers are themselves unprepared for the even higher contribution cost of coverage and out-of-pocket medical expenses.

Now, President Biden’s Inflation Reduction Act will bring change to prescription drug expenses. By “negotiating” lower drug prices, Medicare aims to alleviate costs for beneficiaries. At the same time, those same reductions will likely increase prescription drug costs for employer-sponsored health plans, burdening both employers and employees.

This is why partnering with the right medical billing entity becomes invaluable. Such partners aid in implementing cost management and savings strategies, ensuring compliance, and navigating evolving state and federal healthcare regulations.

Value of a Medical Billing Partnership
aequum is a first-of-its kind tech-driven company in the complex field of medical billing. “Our tech-driven team partners with health plans, providing administrative, technical and legal support to their members,” says Christine Cooper, CEO of aequum. “Working together, we are advancing solutions to manage costs, reduce spending and gain potential savings.”

To support annual enrollment and help manage plan design and administration, plan sponsors are benefiting from partnerships that provide them with insights through data-driven solutions. Real-time price information of the true cost of health care services enables sponsors and members to make the most advantageous cost-benefit decisions regarding enrollment options.

As your partner, aequum can help lower costs, achieve savings, enhance member experience and maximize your plan’s success in 2024 and beyond. Please contact us if you have any questions or need support.