For all of the hoopla over health insurance from politicians in the past few years you would think people would be flocking in droves to purchase their new found coverage. What was advertized to be a moral imperative to give the poor and sick health coverage has actually had the opposite effect. Instead of lowering premiums most have doubled if not tripled. Instead forcing insurance companies to stop selling “junk plans” as called by the president, the majority of people going into ACA / Obamacare plans are finding they can only afford the Bronze plan, which means in many cases less coverage for more money than before.
As the infamous architect of the ACA law Jonathan Gruber asserted in his moment(s) of candor, only the “stupid / ignorant” could see the current situation and say the new law is working for the people it’s supposed to help.
One very interesting fact that I am seeing is a large majority of people enrolling this fall into health insurance is going into non-compliant health plans. Even the people you would expect to be more politically motivated to support the new health care system and law are opting out of Obamacare in favor of private health insurance that aren’t compliant with cumbersome regulations of Obamacare. There are several reasons for this, but some recurring themes I’m seeing are:
- Most of the people buying health insurance are between the ages of 40 – 60 and do not want/need maternity coverage. Therefore the 30% increase in premiums to carry the coverage is simply unjustified regardless of political stripes.
- When doing an A to B comparison of plans that are non-compliant to ACA regulations, the non-compliant plans offer more coverage for less money.
- The doctors people want are many times not accepting ACA plans simply because of the new reimbursement schedules. Therefore to see the more desirable doctors many are choosing plans that their doctors will take.
- The penalty everyone was told to fear won’t even apply to them.
There are several other factors, but the fact remains that the new healthcare law is failing miserably. This isn’t a political assesment, but simply an assessment from someone who deals day to day with people buying, shopping, and considering health insurance. At the end of the day the ONLY ones I can see receiving any value out of the new law is the sick. If a person has a major chronic illness, or terminal disease the new law makes it possible to get coverage. For everyone else, including the poor are paying more. I used to think that some of the poor were being helped, but after seeing the rates, tax credits given, and the quality of coverage issued, I no longer believe it even helps the poor. Even if the tax credit was 100%, and the insured doesn’t pay a premium, what is the value in a plan that has huge deductibles, co-insurances, co-pays, and better providers don’t take?