Which of the following statements regarding medical insurance costs in the United States is true?
A) Advances in medical technology have decreased medical insurance costs.
B) Health insurance does not pay for routine medical costs.
C) A poor demand-and-supply distribution of health care facilities and services has increased health care costs.
D) Increased regulation and decreased administrative costs have reduced medical insurance costs in the United States.
E) Due to the financial importance of health insurance, nearly 50% of the U.S. population has health insurance.

Question

Quizplus · Accepted Answer

The statement that a poor demand-and-supply distribution of health care facilities and services has increased health care costs is true. This is often referred to as the "health care access gap" and it results in higher costs for those who do have access to healthcare as well as for insurance providers. Advances in medical technology have actually increased medical insurance costs, health insurance may cover routine medical costs depending on the type of plan, and increased regulation and decreased administrative costs have not necessarily reduced medical insurance costs. While health insurance is financially important, the statement regarding the percentage of the U.S. population with health insurance is not relevant to the question of medical insurance costs.

Which of the Following Statements Regarding Medical Insurance Costs in the United