Many healthcare insurance companies offer incentives for covered persons to improve their health by exercising, not using tobacco products, and losing weight. When such incentives work, the insurance companies' costs should go ____ and future Medicare costs should go _____ due to increased longevity.

Question

Quizplus · Accepted Answer

When healthcare insurance companies' incentives lead to healthier lifestyles, their immediate costs go down due to fewer claims. However, as people live longer, the costs to Medicare can increase because of the extended period over which benefits are paid out.

Many Healthcare Insurance Companies Offer Incentives for Covered Persons to Improve