Under community rating, people are charged the same premium regardless of health risk.

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Community rating is a method of determining health insurance premiums where everyone in a certain geographic area is charged the same premium regardless of age, health status, or other risk factors. This is meant to promote fairness and access to healthcare, but it can also lead to healthier individuals paying higher premiums to offset the costs of covering sicker individuals.

Under Community Rating, People Are Charged the Same Premium Regardless