California May Outlaw Gender Pricing for Health Insurance
Unknown to many, women are often charged more for health insurance than men, as they generally use more health care services in a given year.
However, the gap in usage versus price seems to be a bit out of whack, with the average 30-year self-employed woman paying as much as $420 more for individual health care coverage than a man.
As a result, some women may be deterred to purchase health insurance, as the costs are simply too high.
This so-called gender gap, also known as a “gender rating,” has been the subject of recent legislation in the Golden State, which is centered on outlawing the controversial and perhaps outdated practice.
Both Assembly Bill 119 and California Senate bill 54 have recently been approved, and are now set to go back to the Assembly for consideration.
However, the worry is that a lack of gender pricing will just raise health insurance premiums across the board to make up for the perceived loss of revenue.
Insurance companies have also appealed for mandatory health insurance for the uninsured as a compromise, though that seems like a stretch.
The legislation doesn’t apply to group health insurance plans, which are prohibited from charging women more than men.
The health insurance gender rating is currently permitted in 40 states throughout the nation.
Related to this subject, men are often charged more than women for car insurance because they tend to get into more accidents, though that rule is unlikely to change anytime soon.
(photo: flyingkites)
Related Topics:
- Can I Get Health Insurance If I’m Pregnant
- Nearly 25 Percent of Californians Don’t Have Health Insurance
- Young Adults Under Age 26 Allowed to Stay on Parent’s Health Insurance Plans
