Does Emplyer-Based health Insurance Provide Adequate Coverage for Most Americans?

Employee-Based Health Care : Adequate Coverage

Employer-based health insurance is often the goal for uninsured Americans . The cost of health care is astronomical so much that many individuals choose to go to a hospital emergency room for their health care needs in to be billed for the services . The bill rarely gets paid . Employers offer a wide range of health insurance plans , the best and most comprehensive provided for those people who work for some branch of the government . In the private sector , health insurance ranges from fee-for-service , health management organizations (HMO , or

br Provider Organizations (PPO . Some employers offer their employees a choice in which type of insurance they prefer (the costs to the employee include a deduction from their paycheck , deductibles and co-payments at time of service . Other , smaller companies are affiliated with one plan only

Regardless of the fees involved , research supports that most employees feel that their health insurance provides more than adequate coverage

History of Employer Health Coverage

The basis for employer based health insurance is that a large number of employees equally distribute the risk (of needing healthcare Instead of large fees for frequently ill employees and small fees for healthy employees , everyone pays the same amount , everyone shares the risk . Employers began to offer health coverage during World War II . This was a time where they needed to attract employers and limit their tax liability . The fringe benefit that best attracted new employees was having their health coverage paid . The benefit to the employer is that providing health coverage is a large tax deduction . Soon , the National Labor Relations Board became involved and argued that any company not willing to bargain for health coverage should face sanctions

Is the Coverage Adequate

In to determine if employer based health insurance offers adequate coverage , one must ask the employees who are covered . A 2005 survey by the Employee Benefit Research Institute (EBRI ) found that most Americans are satisfied with their coverage and that they don 't link quality to cost . In other words , most Americans believe that the quality of health insurance is not dependent on the cost , and that the cost does not influence the quality . Today , employees can be offered one or all of the following types of coverage

Indemnity coverage offers the most flexibility in choice of doctors Plan members pay a monthly fee and must satisfy a deductible . In return they can choose their own doctors and do not have to wait for referrals in to get service . According to the Office of Personnel Management (OPM , eighty-two percent of indemnity enrollees were satisfied with the quality of their health coverage . HMO 's offer less expensive coverage and less out of pocket fees to the insured , but has less flexibility in terms of choosing a physician and receiving care without referrals . Only forty-five percent of customers were very satisfied ' with the quality of coverage . PPO coverage is similar to that of the HMO , but with slightly higher out of pocket...