Filed under: Democrat Corruption, Economy, Health Care, Law | Tags: Affordable Care Act Law, Obamacare, President Barack Obama
A short piece by Bob Krumm caught my eye this morning. titled “IT’S NOT BUSINESS; IT’S STRICTLY PERSONAL”
Republicans want a delay in Obamacare. Because of the many significant problems with the rollout of Obamacare, and because he has delayed parts of the law himself some 19 times, President Obama should want a delay in Obamacare too. One year gives Democrats an opportunity to fix systemic errors in the software, the regulations, and the law. One year gives nothing at all to the Republicans–nothing–except the opportunity to crow a little bit.
That the President can’t compromise in a way that gives him everything he wants, plus the extra time he needs, is not about business. It’s strictly personal.
I love it when someone sums up all the arguments of the past few weeks, wraps it up in a brief package and sums it up in a quotable manner. Nice going.
Filed under: Capitalism, Democrat Corruption, Economy, Freedom, Health Care, Law, Progressivism | Tags: Empty Promises, Obamacare, Smoke and Mirrors
Back in 2008, three eminent Harvard economists who were advising the Obama campaign on matters economic — David Cutler, David Blumenthal, and Jeffrey Liebman — wrote a memo claiming that Senator Obama’s health-care plan could reduce national health spending by $200 billion a year.
Candidate Obama had already claimed that health care costs were spiraling out of control, were going to destroy the economy, wreck the budget, so reducing the out-of-control cost of health care was a very big deal indeed. The advisers took that figure and divided [it] by the country’s population, multiplied by four—for a family of four, and using economist math, rounded it down a little to a nice round number: $2,500. Mr. Obama, delighted, then took that number out on the campaign trail:
And he said he’d lower premiums by $2,500 in his first term as President of the United States. Avik Roy writes the Apothecary blog at Forbes magazine about health care, so with new numbers from the experts working for Medicare’s actuary, he used the same economist math. He took the latest year-by-year projections, divided by the projected U.S. population to determine the added amount per person and multiplied by four—for a family of four. With the best economist math Obamacare will increase health spending by $7,450 for a typical family of four. He even included a dandy graph:
Health care costs have been going down since 2006. New diagnostic tools are in place and paid for. Important new drugs like Statins are saving lives and a lot of heart surgery. It was the president’s claim of $2,500 savings that was completely wrong, but that was the basis on which ObamaCare was sold.
“I can make a firm pledge under my plan, no family making less than $250,000 a year will see any form of tax increase. Not your income tax, not your payroll tax, not your capital gains taxes, not any of your taxes.”
This is a touchy point among progressives. But you might remember that George W. Bush’s Medicare Drug plan is the only government program known to have come in under estimates and under budget. That is because it had a built-in incentive to encourage seniors to select generics when they had the opportunity to, in order to avoid the “donut hole” where they wouldn’t get a subsidy unless they really needed it. Democrats, of course, thought that was mean, (they don’t do incentives) and eliminated the “donut hole.”
On the other hand, Andy and Amy Mangione of Louisville, Kentucky and their two boys are just the family of four that should be helped by ObamaCare. They recently got a surprise in the mail.
The insurance charges for the Mangione’s policy was going to almost triple — from $333 a month to $965 a month.
The notice from their insurance company carried this paragraph:
If your policy premium increased, you should know this isn’t unique to Humana — premium increases generally will occur industry-wide.
“Increases aren’t based on your individual claims or changes in health status,” it continued. “Many other factors go in to your premium including: ACA compliance, including the addition of new essential health benefits.”
People who currently choose to purchase a high deductible, low premium policy that’s more affordable for them, are now being required to add all these new benefits to their policy. (Even if they don’t want them).
This tells you how government bureaucrats do economic estimates, and why everything always doubles and triples in cost. (or more) And why you should never believe their numbers.
Filed under: Democrat Corruption, Domestic Policy, Health Care, Law, Liberalism, Progressivism | Tags: Coming Train Wreck, Obamacare, ObamaCare Failure
Further reports on the coming train wreck: Health Insurance rated in Georgia are rising by up to 198 percent under ObamaCare the Georgia Insurance Commissioner said in a letter to HHS on Monday.
Commissioner Ralph Hudgens asked for more time to investigate and approve the new higher rates. Georgia consumers cannot afford these massive rate increases, he wrote to Secretary Sebelius.
For a 25 year-old male, premiums will rise 65 to 198 percent within the exchanges, and for a 45 year-old male premiums will rise 40 to 100 percent. It seems to involve “age rating” which requires that insurance companies charge no more than three times what they charge younger people. This means that the restriction will lower prices for the elderly and raise them for younger people.
Indiana has announced that insurance rates are rising 72 percent for an individual plan and 8 percent or a group plan.
The Treasury Department Union is up in arms because they are being forced into the exchanges — and these are the people who are supposed to manage it.
Filed under: Capitalism, Democrat Corruption, Freedom, Health Care, Law, Politics | Tags: Affordable Care Act, Obamacare, Rising Cost - Rising Premiums
Nancy Pelosi, former Speaker of the House, once famously said that “We would have to pass the bill to find out what’s in it.” They passed it, but she apparently still hasn’t read it. It is long and confusing, but she clearly still doesn’t know what is in it. She can’t get past her extreme partisanship and speak about it honestly. One doesn’t know whether to laugh or cry.
She doesn’t remember, but here she is in 2012, asserting that she did too say everyone’s premiums would be lower. You Tube is so darned inconvenient. Politicians just haven’t caught up with the fact that their words are preserved for eternity.
Premiums are scheduled to double for most people. Premiums for a family are expected to be around $20,000 a year. With a vast shortage of doctors, wait times will increase to match the horrors of Canada and Britain. How to fix it? Well, just turn it into single payer, which is what the Democrats intended all the time. We were talking about trust and truth telling, weren’t we?
ADDENDUM: The Ohio Department of Insurance announced that based on the rates submitted by insurers, the average individual market health insurance premium in 2014 will come in around $420, representing an increase of 88% relative to 2013. Lt. Governor Mary Taylor said in a statement: “We have warned of these increases. Consumers will have fewer choices and pay much higher premiums for their health insurance starting in 2014.”
A total of 14 companies proposed rates for 214 plans to the Department. Projected costs from the companies for providing coverage for the required (by ObamaCare) essential health benefits ranged from $282.51 to $577.40 for individual health plans. They have not yet been approved by the Department of Insurance. The biggest drivers are 1) risk pool composition charges — forcing the young to subsidize the old, and the healthy to subsidize the sick. And 2) ObamaCare’s required expansion of insurance benefits. Some have the impression that rates are rising because of the law’s requirement or covering pre-existing conditions, but that represents only a very small part of the rise.
Filed under: Capitalism, Domestic Policy, Health Care, News the Media Doesn't Want You to Hear, Progressivism, Taxes | Tags: Obama's False Claims, Obamacare, Unaffordable and Unworkable
On March 23, 2010, President Barack Obama signed into law what he billed as a triumphant reform of America’s health care system. Two days later in a speech at the University of Iowa, the president declared:
From this day forward, all of the cynics, all the naysayers — they’re going to have to confront the reality of what this reform is and what it isn’t. … They’ll see that if Americans like their doctor, they’ll be keeping their doctor. You like your plan? You’ll be keeping your plan. No one is taking that away from you. … It wasn’t Armageddon.”
Filed under: Capitalism, Economy, Health Care, Law, Progressivism | Tags: Kills Jobs, Obamacare, Raises HealthCare Costs
Powerline offers definitive proof that ObamaCare raises costs and kills jobs. A reader of their blog who heads an investment group came across this disclosure in a prospectus issued in connection with the recapitalization of a family oriented restaurant chain. This is clearly not a political statement, it is a legally mandated disclosure to prospective investors, which renders the issuer liable if the disclosure is not true.
It is worth reading the whole thing. It exposes the false claims of the Obama administration fully and completely. Fewer full-time jobs, rising health care costs, and higher restaurant prices. This is what some of you voted for, though I cannot for the life of me understand why.
Filed under: Capitalism, Democrat Corruption, Economy, Health Care, Law, Politics, Progressivism, Taxes | Tags: Actuarial Principles, Huge Premium Increases, Obamacare
The nice folks who created ObamaCare in some back room in Congress ignored virtually every actuarial principle that governs rational insurance pricing. Consumers will experience another series of price shocks later this year when some see their premiums skyrocket thanks to ObamaCare. Premiums are already reflecting some of their neglect.
One of the central provisions of ObamaCare is the 1). requirement that health insurers accept everyone who applies (guaranteed issue). And 2). cannot charge more based on serious medical conditions and 3). coverage mandates that force insurers to pay for many uncovered medical conditions.
Guaranteed issue gives folks the incentive to forgo buying a policy until they get sick and need coverage, and drop the coverage when they get well. ObamaCare imposes a penalty (a tax?) but it isn’t enough to keep people from gaming the system.
Some actuaries are predicting 50% increases in premiums. Large employer groups will be less affected because the law grandfathers in employers that self-insure.
President Obama repeatedly claimed that health-insurance premiums would be $2,500 lower by the end of his first term, they are actually about $3,000 higher. He also claimed during the fiscal-cliff negotiations, a claim that he kept repeating, that “We don’t have a spending problem. We have a health-care problem.”
Back in 2009, he was claiming that health-care reform “is no longer just a moral imperative, it’s a fiscal imperative,” and ” one of the best ways—in fact maybe the only way— to reduce those long-term costs.” In March, 2009, in a White House speech kicking off the Affordable Care Act in May of that year, he took notice of “one clear, indisputable fact”, which was that “the explosion in health-care costs has put our federal budget on a disastrous path.” He added that controlling those costs “is essential to reducing budget deficits.”
A year later just before the Democrats voted to pass what he called “one of the biggest deficit reduction measures in history.” Obama said “Everybody who’s looked at it says that every single good idea to bend the cost curve and start actually reducing health-care costs are in this bill.” He promised that the conversion to electronic health records would produce $81 billion in savings, and make for greater efficiency. Nope. Didn’t happen. There is increasing concern that the switch has actually added to costs.
One dirty little secret was that the health care industry was already controlling costs before the Democrat push for ObamaCare took off. The new diagnostic machinery was hugely expensive, but improved outcomes. New drugs, made affordable for the elderly, prevented more serious disease. Health savings accounts combined high-deductible insurance policies with a tax-free health spending account that rolls over at the end of the year. Democrats killed the incentives in the drug plan, making it cost more, and ObamaCare declared war on that cost control effort by capping deductibles at $2,000 and making it harder to offer the savings accounts. ObamaCare’s ever-increasing list of benefit mandates will drive up costs.
Doctors take an oath to “first do no harm.” Obama adviser Ezekiel Emanuel has declared that doctors pay way too much attention to their oath.