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  • Heritage in Focus: Anniversary of Obamacare

    This week marks the first anniversary of Obamacare, and already some of the less egregious aspects of the law have taken effect: minimum loss ratio regulations, the small-business health insurance tax credit, high-risk pools, and coverage mandates on insurance companies. However, the worst parts of Obamacare won’t kick in until 2014. You can learn more about in our recent Heritage in Focus podcast with Heritage expert Bob Moffit. Click here to listen.

    So what has health reform accomplished over the past year?

    First off, as a result of new laws imposed, insurers cannot limit lifetime benefits, nor can group plans limit yearly benefits. On top of that, it is now permissible that people can stay on their parents’ insurance plans until age 26. These policies have resulted in premium increases: BlueShield of Oregon has attributed 3.4 percentage points of its 17.1 percent rate increase to Obamacare, while Celtic Insurance Company in Wisconsin and North Carolina has attributed 9 percentage points of its 18 percent rate increase to Obamacare.

    Secondly, Obamacare has imposed new child coverage laws, requiring that insurers offer coverage without regard for preexisting conditions. What has resulted is that insurers in at least 34 states have exited the market and 20 states now have no insurers offering child-only plans.

    Thirdly, many companies that offer mini-med plans are no longer able to do so. This is because, as mentioned above, these plans limit benefits. This has resulted in over 1,000 Obamacare waivers, exempting businesses from aspects of the law. Perhaps the most notable case was McDonald’s, which threatened to drop scores of its employees from health coverage until it was later granted a waiver.

    Additionally, Obamacare was supposed to create high-risk pools for individuals who can’t easily obtain health coverage. Seventy percent of states had high-risk pools before the law was enacted, but the new health reform offered generous subsidies for people to buy coverage in new high-risk pools. As a result, the Office of the Actuary at the Centers for Medicare and Medicaid Services estimated that 375,000 people would be enrolled in these high-risk pools by December 2010. Well, as of February, 2011, only 12,500 people have enrolled, or about 3 percent of its estimate.

    And these are but a few of the many ill-effects the new law has imposed over the past year. The health reform law was designed on impractical assumptions, idealistic models, and rosy scenarios that will never come to fruition. It will only make things worse over the coming years, unless we repeal it.

    Posted in Obamacare [slideshow_deploy]

    4 Responses to Heritage in Focus: Anniversary of Obamacare

    1. Pingback: Heritage in Focus: Anniversary of Obamacare | Big Propaganda

    2. Jill, California says:

      Blue Shield is not honest about its rate increases, so there's no point trusting anything Blue Shield says about the percentage of its increases being due to Obamacare.

      For example, Blue Shield claims that the premium hikes are due to sharp increases in the cost of medical care. What Blue Shield refuses to admit is that the cost of medical care is escalating in large part due to the way Blue Shield administers its program. Instead of streamlining the process to make it easy on healthcare providers and patients alike, Blue Shield makes it so cumbersome that healthcare providers have to charge more to cover their costs in handling the insurance paperwork.

      Obamacare has devastated the healthcare industry and punished all Americans. But the insurance companies are equally to blame for this nightmare.

    3. Leon Lundquist, Dura says:

      David, it strikes me as a designed destruction of the Health Care Markets. It is as if an evil genius went after the American Market in Insurance. "You cannot do whatever works to make Healthcare affordable!" High risk pools are American safety nets, destroyed by Statistical Analysis above the People's heads. And we saw the Housing Markets destroyed by something similar! All those rotton Sub Prime Mortgages were packaged into Toxic Assets! The new Toxic Assets are Government mandated Insurance designed to bankrupt Insurors. "Don't even write these Policies!" They are poison!

      Medical costs have been out of control since the Communists usurped the AMA, so the real reason we have Bankruptcy planned for every State and every local government is another Treasonous Conspiracy to bring about Junk Science in Medicine. We can't have this conversation because the DINOs have us all aflutter about poor people! Well the poor people pay hidden taxes and pass through taxes, we pay for crazy overkill in Defensive Medicine. Most of all we pay outrageous costs of Overregulation and Overcriminilization of Medicine! Someday please! Can we have the Conversation about Junk Medicine? The Real reason Medicare is over the Moon?

      I am so sick of Red Herrings! The poor will be so much worse off under Obamacare it will be like Soft Mass Murder! And another thing! This "Hate Speech" of mine! Don't you know Americans should hate these things! The audacity of Legislating Human Emotion! It is downright Orwellian! You should hate murderers! Hate is a good thing to have as an emotion that is appropriate to the circumstances! Over the People's heads if you can't express your hatred? You are doomed never to rise above it! PC is perfectly crazy! Yes, but it is by Design!

    4. Bobbie says:

      Did anyone give obamacare the bad news? riddled with illness and certain early death?

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