Health Insurance Companies Pushing Alternative Medicine to Cut Costs?

Health insurance companies are constantly in search of ways to save money.  Some of their methods, such as refusing to cover those with pre-existing conditions that their underwriters deem too high risk, have drawn fire from consumers and politicians. Now, some insurers are promoting alternative medicine. With some exceptions, consumers pick up the majority of the costs of services like acupuncture and chiropractic, as well as herbal supplements. While most of these remedies are unproven, they have become increasingly popular with consumers. Therefore, promoting it seems to be a win-win situation for insurers.

Kaiser Permanente and Aetna are among the HMOs that offer dietary supplements and herbs to their patients. However, these supplements aren’t covered in most of their health insurance plans. If someone takes a conventional medication, the cost of their prescription will mostly be covered by their insurer, less a small co-payment. If they use a non-prescription herbal supplement instead, the patient must cover the entire cost out-of-pocket. The same applies when someone visits an alternative practitioner as opposed to a physician.  In that respect, it is financially advantageous for insurance companies to encourage the usage of alternative medicine–although they surely won’t admit it.

Some people want Congress to include alternative medicine coverage in the healthcare reform bill. Do you wish alternative medicine was covered in your health insurance plan?