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Unformatted text preview: ECON 4300- Notes 17:16 Affordable Care Act- Want every insurance company to get 1/n amount of people. Trying to attract healthy people and discourage unhealthy people. Cream Skimming Risk adjustment for insurance companies. Govt aid to companies with unusually sick patients. Alternative Approach to Healthcare Reform Health Savings Accounts /High Deductible policy High Deductible- $3,000 deductible (not counting preventative care) for family in exchange for a lower premium. Health Savings Account- Tax deductible savings account, where the money in it can be used to pay medical expenses. Balance in the account stays year to year and earns interest. Benefits Decreases moral hazard. Patient is paying 100% of cost up to deductible may make it more cost efficient. Lower premium might allow more people to afford health insurance (people not covered...
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This note was uploaded on 02/07/2012 for the course GEOG 3640 taught by Professor Staff during the Fall '08 term at University of Georgia Athens.
- Fall '08