Monday, January 14, 2013

Surprise: Health Insurance Premiums To Skyrocket Under Obamacare

President Barack Obama repeatedly assured Americans that their health insurance premiums would cost less, not more, once his health care plan takes effect. People with insurance understand that their premiums have been increasing annually by double-digit rates for the past decade. It couldn't possibly get worse under Obamacare, right? Think again. The standard of living for most Americans will plummet because of the skyrocketing costs of purchasing health care under Obamacare. How is that possible? According to the Wall Street Journal, Congress simply ignored "virtually every actuarial principle governing rational insurance pricing."

The WSJ cites three reasons for the rising costs: 1) health insurers must accept everyone who applies for benefits; 2) insurers cannot charge more based on serious medical conditions; and 3) the law mandates coverage of numerous items not currently covered by standard health insurance policies. The report also claims that the penalty the law imposes for not purchasing health insurance is too low to stop people from not purchasing it when they are well and waiting to purchase it once they become ill. That will create smaller insurance pools more populated by the sick. Many employers are already taking steps to end health insurance benefits for their employees because of the rising costs.

States that already have Obama-like health insurance requirements have health insurance plans that cost nearly twice as elsewhere. That's what the rest of the states can now expect to pay. About 18 states, including Indiana, will see health insurance premium increases of 35%-65%. Arizona, Arkansas, Georgia, Idaho, Iowa, Kentucky, Missouri, Ohio, Oklahoma, Tennessee, Utah, Wyoming and Virginia will see the largest rate increases of between 65% and 100%. The bottom line is that the economic future of Americans could not be more bleak. Fewer jobs with lower wages and skyrocketing costs of living are what most American are looking foward to.


Downtown Indy said...

Whether it's hammers, toilets, parking meters or insurance, the government has NEVER lowered the cost of anything it has procured.

varangianguard said...

I'm going to be a victim of this. woot. not.