There was a change in delivery models during the past year as more employers move the health insurance costs for employees. This makes employees spend more money out of pocket and forcing them to think twice before using health services.
Investors Moody reported, "the growth in demand for health care services slowed more than expected in 2010, and we do not believe that the pace of growth will easily recover to levels seen before the economic downturn, especially one to two years. "
This slowdown in growth is good for the health insurance companies because of fewer claims that result in savings for consumers. However, there may be a negative effect on hospitals, pharmaceutical companies, physicians and medical device manufacturers with fewer people using their services.
This will be interesting to see if the prediction by Moody Investors Services is correct. with the reform of health care, there will be a big Medicaid expansion in the coming years, and individuals will be required to purchase health insurance by 2014 . many health experts predict that this expansion of coverage and benefits will put a strain on health care providers and hospitals.
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