Lack of understanding leads many consumers to choose the wrong health plan

Consumers with the lowest levels of understanding about how health insurance works are the least likely to choose the most appropriate plan for their circumstances, and many consumers have trouble making cost-effective selections, studies have shown. Other factors leading to poor choices include the order in which plans are presented, labels such as the Affordable Care Act’s metal tiers, and a stronger aversion to increases in copayments and deductibles than to higher premiums. Access to cost-comparison tools and experts can help consumers select the best plan for the money, health economist Austin Frakt notes. The New York Times (free-article access for SmartBrief readers) (11/1)