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  • Health Insurance Continues Unaffordable Trend After Obamacare

    This week, the Kaiser Family Foundation and the Health Research and Educational Trust released a major survey on employer-sponsored health benefits in the United States. Among the many important findings in the report, one fact stood out: Americans are paying more and more for their health insurance every year, a concerning trend that is only getting worse under Obamacare. The report explains that:

    • The cost of insurance is increasingly unaffordable to American families. The cost of health insurance in the United States has grown significantly over the last decade. The Kaiser survey shows that the average annual premium for a family in 2011 is 31 percent higher than it was in 2006, and 113 percent higher than in 2001. This year marks the first year that the cost of family coverage will exceed $15,000, reports The Wall Street Journal’s Anna Wilde Matthews.

    Small businesses especially struggle to offer health benefits to their employees because of cost. According to Kaiser, 55 percent of small firms surveyed that did not offer coverage cited the high cost of insurance as the primary reason.

    • Obamacare did not “bend the cost curve.” While rising health care costs continue to impact American families, the 2010 health care legislation did not alleviate the pain. Between 2009 and 2010, family premiums increased just 3 percent. But the increase from 2010 to 2011 was much larger at 9 percent. Average annual premiums for individuals grew 8 percent. According to the survey, “The average premium for single coverage in 2011 is $452 per month or $5,429 per year…The average premium for family coverage is $1,256 per month or $15,073 per year.”
    • Instead, the new law is already increasing premiums… According to Kaiser Family Foundation CEO Drew Altman, Obamacare was responsible for between 1 and 2 percentage points, or approximately 20 percent, of the increase in premiums. Provisions of the law that have already gone into effect are driving up the cost of premiums, including requiring insurance plans to cover children up the age of 26 on their parents’ policies and requiring government-approved preventive care measures to be covered with zero cost sharing by all plans.
    • …And it is on track to get far, far worse. Already-enacted provisions are just the beginning. Next week, the Institute of Medicine (IOM) will release its recommendations on what should and should not be covered under Obamacare’s “essential health benefits” package. If the IOM is as prescriptive as it was in its recommendations on womens’ preventive care, and the Department of Health and Human Services adheres fully to the recommendations, Americans will be required to carry generous levels of coverage or pay a penalty. This will mean even larger premium hikes than we’ve already seen. Other provisions will add even further to Americans’ premiums costs, including required limits on cost sharing and deductibles, elimination of annual and lifetime limits on health benefits, taxes on insurers and pharmaceutical companies—the list goes on.

    Clearly, Obamacare won’t make insurance more affordable for individuals and families at all. Instead, it does the opposite. Reform that reduces health care costs for all Americans is possible, and the first step is repeal.

    Posted in Obamacare [slideshow_deploy]

    3 Responses to Health Insurance Continues Unaffordable Trend After Obamacare

    1. Grandmab says:

      welcome to socialized medicine if you want this stopped work hard to change the 2012 elections support all who are against the obcaremare program send $5.00 each to the people running for offices in states other than yours. I do it all the time since we are retired thats all I can do at a time,.

    2. Al Connelly says:

      There is only one solution and that is to repeal Obomacare! If that can't be done through the actions of the Supreme court and current challenges already in motion, the election of 2012 has to result in getting rid of Obama and a pledge that the new president will get rid of Obamadare! Obama continually blames problems on congress but fails to acknowledge the present ills for industry and individuals is the direct result of his Democratic controlled congress pushing through a bill of 2000 pages without fully understanding or caring about the content or the effect on business and working individuals. Al

    3. Al Connelly says:

      I believe our nations leaders need to take a hard look at this example and learn from it. Unfortunately the individual who is leading, or supposed to be leading, our country is apparently opposed to controlling cost, curtailing the strong arm tactics of unions, trying to run businesses and individuals lives through government intervention. The money he has wasted and the pain he has caused via Obamacare, NLRB madness, green business investment errors, and the loading of added cost to automobile industries and individual home owners through mandates for changes to "green" products is killing our economy and GDP growth. Forcing American citizens to buy a certain type of light bulb and driving the auto industry to re-tool to meet his demands is not good for this country.

      His support for NLRB actions agains companies such as boeing and removing the freedom of a business to relocate if that is best for the business while cow towing to unionism will send a message to businesses to continue moving off shore and thus removing opportunities for laborers in this country to earn a living. Al

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