ObamaCare Will Raise Average Premiums By 32% For Individual Coverage

[The Nature Boy 4,224]

http://www.forbes.com/sites/robertlenzner/2013/11/02/obamacare-will-raise-average-health-insurance-premiums-by-32-for-21-million-people/

ObamaCare Will Raise Average Premiums By 32% For Individual Coverage
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In my search for the truth about how much ObamaCare will increase how many Americans’ health insurance premiums I came upon a frightening map of the United States that projected what the percentage hikes would be state by state for people with individual coverage. The projections, prepared by the Society of Actuaries in March, 2013 predicted some pretty outrageous premium increases for people with individual coverage in the likes of California, 62%, Alabama, 60%, Texas, 34% and Arizona 41%. Only in New York, Massachusetts and New Jersey would the premiums decline slightly for people with individual coverage, a segment of the market that is expected to increase from 11.9 million people at present to 25.6 million as more Americans sign up for insurance coverage under ObamaCare.

Maybe the computer models used by the Society of Actuaries are just plumb ridiculous and wrong. I printed out the actuarial study entitled ” Cost of the Future Newly Insured Under the Affordable Care Act(ACA)” and I learned that the Actuaries predict ACA-driven changes in individual market composition of the individual health care market could drive up underlying claims costs by an average of 32% nationally by 2017.” Moreover the projections showed double-digit increase in 42 of 50 states over the next 4 years.

These projected increases, which you won’t hear the White House mentioning, are due to “ the fact that premiums are driven primarily by the underlying cost of medical care and not health plans administrative costs and profits.” In general, the states expected to have large jumps in the premium now have “low current individual costs and those having high current individual costs”will show decreases.

See how murky and complicated this all is. No wonder there is widespread dissension about the new plan, because, let’s face it, the Obama White House never truly prepared the population for the gritty truth. My housekeeper told me this week she had just received a letter from her insurer canceling her policy and raising her premium far more than she could ever have dreamed.

This shock to the pocketbook of the working class individual could not be a worse outcome for ObamaCare. These dunning letters, together with he easier to understand cuts in food stamps that are coming, sabotage what Obama set out to do in restoring the economy. The individual holder of health insurance and the uninsured individual, who were supposed to be the Americans most in need, face a discouraging prospect. If they are NOT in a group insurance plan where the cost is spread among many, they are getting hurt by ObamaCare.

I can only conclude that the unexpected ramification of ObamaCare is that some tens of millions may find ObamaCare unaffordable rather than affordable. At least, that’s how it looks, short of getting more enlightened about the prospects. I can tell you this; a leading Senator who was opposed to the Obama-designed health bill came to see me in late 2009 to disclose that he had just been to the White House to tell the President he could NOT vote for this bill. This Senator wanted the bill rewritten in committee; otherwise, he was going to vote against it. It was, he told me, a blatant sell-out to the giant healthy insurance companies. ( See my Forbes piece Only the Health Insurance Giants and Their Shareholders Profited from ObamaCare)

Obama told the Senator his administration needed a legislative victory badly, and he did not want to wait to rewrite the bill. So, the health insurance giants, Aetna AET -0.14%, Cigna CI +1.82%, United Health Group, and Wellpoint raised their premiums over the past 4 years without any interference, and one upshot is that many individuals face the probability of much more costly health insurance. They will benefit from the requirement that 80% of the premiums must be spent on their medical costs. We are in flux about the cost of health care.

[Karee 4,190]

[Gary and Alla 3,694]

The next time the Repubs attempt to stop or delay it...the Dems will join them. This is headed for the scrap heap, in fact, it is a scrap heap all by itself

[spookyturtle 9,466]

32% isn't bad.

[Pooky 3,809]

32% isn't bad.

It is if you add in the tripling or quadrupling of the policy deductibles. Hardly makes healthcare "Affordable", does it?

[spookyturtle 9,466]

It is if you add in the tripling or quadrupling of the policy deductibles. Hardly makes healthcare "Affordable", does it?

But it's only a little more.

[Pooky 3,809]

But it's only a little more ...

... than a lot of people can afford to pay.

[The Nature Boy 4,224]

But it's only a little more.

you give a poor person a policy with a 3500 deductible you may as well make it 35,000

[spookyturtle 9,466]

you give a poor person a policy with a 3500 deductible you may as well make it 35,000

I thought only Democrats wanted to help the poor and Republicans want everyone to fend for themselves so we can have more money to start wars and stuff like that. I'm confused.

[Gary and Alla 3,694]

I thought only Democrats wanted to help the poor and Republicans want everyone to fend for themselves so we can have more money to start wars and stuff like that. I'm confused.

Democrats want to control more of your life. Democare lets then do that. The are willing to close government statues if you do not let them control your life.

The more you need them...such as with high deductibles, the more they can "help" you

[PaulAbby 4]

wow, I wish mine was ONLY going up 32%,. I have been informed that my Premiums will go up 56%. (SpookyTurtle if you thank that is a small amount why dont you pay it for me!). and my deductable is also going up!

[Teddy B 17,252]

wow, I wish mine was ONLY going up 32%,. I have been informed that my Premiums will go up 56%. (SpookyTurtle if you thank that is a small amount why dont you pay it for me!). and my deductable is also going up!

What are you paying now and what coverage do you have?

[PaulAbby 4]

I have employer based coverage with my company paying (aprox 75% of premium), $1,000 deductable (1200 next year), family plan. My part of the premium will go up 56% or $1,776 more in 2014 than this year and $400 deductable (if i use). My company has reported that they expect thier part will cost them at least 12 million to 18 million more. Insurance is through BCBS. By the way, as far as i can see from reading the information there is not an increase because of additional coverage or benifits to meet Obamcare Specifications. So this additional amount of money IS NOT getting me any additional benifits!

Sorry but $2,176 is not a small amount of money!!! And i just wonder what it will be next year!

[Teddy B 17,252]

I have employer based coverage with my company paying (aprox 75% of premium), $1,000 deductable (1200 next year), family plan. My part of the premium will go up 56% or $1,776 more in 2014 than this year and $400 deductable (if i use). My company has reported that they expect thier part will cost them at least 12 million to 18 million more. Insurance is through BCBS. By the way, as far as i can see from reading the information there is not an increase because of additional coverage or benifits to meet Obamcare Specifications. So this additional amount of money IS NOT getting me any additional benifits!

Sorry but $2,176 is not a small amount of money!!! And i just wonder what it will be next year!

How much does your plan cost you now per week (your out of pocket money) and how much will it cost you when ACA takes affect?

I am in Mass where we have had the mandatory healthcare for a while now, my wife and I both pay $50 per week each, for 2 single plans with $1,000 deductibles also through BCBS, our respective employers pick up the rest. We save $50 per week by purchasing two single plans opposed to one family plan.

Edited November 4, 2013 by Teddy B

[spookyturtle 9,466]

It is if you add in the tripling or quadrupling of the policy deductibles. Hardly makes healthcare "Affordable", does it?

... than a lot of people can afford to pay.

you give a poor person a policy with a 3500 deductible you may as well make it 35,000

wow, I wish mine was ONLY going up 32%,. I have been informed that my Premiums will go up 56%. (SpookyTurtle if you thank that is a small amount why dont you pay it for me!). and my deductable is also going up!

I have employer based coverage with my company paying (aprox 75% of premium), $1,000 deductable (1200 next year), family plan. My part of the premium will go up 56% or $1,776 more in 2014 than this year and $400 deductable (if i use). My company has reported that they expect thier part will cost them at least 12 million to 18 million more. Insurance is through BCBS. By the way, as far as i can see from reading the information there is not an increase because of additional coverage or benifits to meet Obamcare Specifications. So this additional amount of money IS NOT getting me any additional benifits!

Sorry but $2,176 is not a small amount of money!!! And i just wonder what it will be next year!

Look up sarcasm in the dictionary.