Why have premiums risen so dramatically?
Medical insurance premiums have risen sharply for all plans over the last two years. Historically, medical insurance costs have consistently been much higher than the consumer price index (CPI) and other measures of inflation. The RCA plan is subject to the same forces that are at work in the general medical insurance market. Increased costs of medical technology, expanding scope of treatment options, cost shifting from the Medicare and Medicaid programs, costs of the uninsured, rapidly rising prescription drug prices, nursing shortages, direct-to-consumer advertising, medical malpractice, and defensive medicine are all part of the problem. As the table for question 5 (above) shows, the RCA plan has experienced cost trends similar to the general market and the denomination peer group.
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