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Then he comparison-shopped for a lower-cost plan.
Conversely, a lower-cost plan may not receive a "for" recommendation if the plan includes enough problematic provisions or if past grant practices raise concerns.
People also can't get federal subsidies for catastrophic coverage, but the insurers' proposal for a lower-cost plan would allow subsidies to make plans more attractive to cost-conscious consumers.
The limit would encourage employers to seek lower-cost plan options, but would not drive employers to offer only low-cost plans.
In San Jose, nearly 70% of voters Tuesday approved a plan that gives workers the choice between increasing their pension contribution to 13% of their pay, currently 5%to11%1%, or switching to a lower-cost plan with reduced benefits.
Users are gravitating towards lower-cost plan options, and show a trend to self-select into higher-cost plans when they know a big health care expense is coming.
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It would push employers and workers toward lower-cost plans and shift compensation toward higher wages.
Consumers can move from expensive health plans to more efficient, lower-cost plans, the administration says.
T-Mobile and its larger rival, Sprint Nextel, have both sought customers seeking lower-cost plans.
This policy would provide strong incentives to purchase insurance more efficiently, since the highest-cost plans would be taxed but lower-cost plans would not.
Gabel, J., Arnold, D., Scheffler, R.M. Consumers Buy Lower-Cost Plans on Covered California Suggesting Premium Increases Are Less than Commonly Reported.
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