For those who are confused about what the future means in terms of health care costs (as well as the past relative to income), you need to read the new information from Kaiser Family Foundation (if you don't know, Kaiser is the largest non-profit health care provider in California).
Let's do some very simple arithmetic. Start with a fairly conservative assumption: If we assume that premium increases over the next ten years will average what they did over the last five (about 6.1% per year), the average premium for a family policy in 2019 will be $24,180. That's a big number. On the other hand, if we assume increases revert to the average of the last ten years—an average annual increase of about 8.7% and a very plausible scenario—premiums in 2019 will average a whopping $30,803, a very scary number (Figure 1).
Now I know some of you may not even blink at this information, but most of you will probably be aghast. When my health insurance costs would be double that of my mortgage, something is dreadfully wrong.
Here's another nifty video on United Health Group. Think their CEO will take a nice hefty pay cut just to help? Yeah... right.