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ObamaCare´s Health-
Insurance Sticker Shock

Wall Street Journal, by Merrill Matthews & Mark E. Litow

Original Article

Posted By:KarenJ1, 1/14/2013 9:57:15 AM

Health-insurance premiums have been rising—and consumers will experience another series of price shocks later this year when some see their premiums skyrocket thanks to the Affordable Care Act, aka ObamaCare. The reason: The congressional Democrats who crafted the legislation ignored virtually every actuarial principle governing rational insurance pricing. Premiums will soon reflect that disregard—indeed, premiums are already reflecting it. Central to ObamaCare are requirements that health insurers (1) accept everyone who applies (guaranteed issue), (2) cannot charge more based on serious medical conditions (modified community rating),

Comments:
This is terribly depressing. They are predicting 50 and even 100 percent increases in premiums. It is extremely difficult not to be enraged all of the time when you read articles like this and know more of this is coming with the criminal 0bama now ruling.

      


Post Reply  

Reply 1 - Posted by: plex, 1/14/2013 10:04:32 AM     (No. 9115441)

It is no longer insurance, it is cost sharing.

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Reply 2 - Posted by: roger h. cook,MD, 1/14/2013 10:15:17 AM     (No. 9115460)

The healthcare free lunch is going to be very,very costly for everyone who has any kind of a job only those aleady on the dole will get your free healrh care.and when the"system" goes broke the government will take over , this is how the Obama democratsforce socialized medicine on us.

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R-G1
  
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Reply 3 - Posted by: Attercliffe, 1/14/2013 10:31:37 AM     (No. 9115502)

The post entitled

"Britain can no long afford to pay the extortionate cost of the welfare state"

says it all.

http://lucianne.com/thread/?artnum=718886





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Reply 4 - Posted by: GoDeacs79, 1/14/2013 10:38:21 AM     (No. 9115518)

I honestly don´t know how people, myself included, are going to afford the premiums. Prices of gas, food, education, utilities - in short every necessity - have already skyrocketed while incomes are stagnant or declining. The alternative will be to drop coverage and pay all medical expenses out-of-pocket, but then you get hit with Obama´s penalty. Obama has succeeded in destroying this nation.

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Reply 5 - Posted by: Blackeagle, 1/14/2013 11:07:26 AM     (No. 9115611)

In any group insurance pool, younger payers, less likely to use the insurance - subsidize older payers. As ACA kicks in, younger policy holders will drop out - leaving only those most likely to use the insurance to remain insured.

To remain solvent Insurance companies will be forced to raise rates - further encouraging the healthier to drop out - which will fuel another round of rate increase. This is called a feedback loop in electronics. In economics there is usually an equilibrium market price - but here there is no equilibrium solution. The circuitry simply melts down.

So for each premium cycle, fewer will remain insured, those remaining will be sicker and be charged higher premiums. Insurance companies will never be able to raise premiums enough to maintain solvency as per unit costs will rise after each rate hike. At some point, government will have to intervene and end up putting us all on something like Medicaid.

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Reply 6 - Posted by: privateer, 1/14/2013 1:16:32 PM     (No. 9115934)

Yes, thank the Non Rational Argument.

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Reply 7 - Posted by: Rather Read, 1/14/2013 1:20:23 PM     (No. 9115942)

A friend of mine already pays 600 a month. She is dreading what Obamacare is going to do.

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Reply 8 - Posted by: jalo1951, 1/14/2013 1:23:31 PM     (No. 9115946)

Mine doubled to 800 a month. Had to drop it or stop heating my home, eating, taking a bath, buying gas etc. etc.

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Reply 9 - Posted by: PageTurner, 1/14/2013 1:26:02 PM     (No. 9115953)

A little gift we can thank our low-information voters for.

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