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  • Obamacare Is Losing CLASS Fast

    It may be only a few days since Congress began its new session, but it has already done some decent work. This week, the House Ways and Means Committee held the markup of H.R. 1173, which would repeal the Community Living Assistance Services and Supports (CLASS) Act.

    The CLASS Act is a government-run long-term care insurance program and a major failure of Obamacare. It has been described in a variety of degrading ways, most notably as unsustainable, an insurance death spiral, and a ponzi scheme of the first order.

    As Heritage has previously explained:

    From its creation, the CLASS Act was completely unsustainable as written into law. Due to the effects of adverse selection, the program would charge high premiums that would deter less risky individuals from participating. Indeed, participating in the CLASS program would only appeal to those in poor health expecting to need long-term care in the future, further escalating premiums.

    Thankfully, the inherent policy flaws of the CLASS Act have been recognized, and congressional action is being taken. Representative Charles Boustany (R–LA), a physician and chairman of the House Ways and Means Subcommittee on Oversight, is the sponsor of the repeal bill. In a recent Politico op-ed, he urges Congress to act and warns, “CLASS could return to haunt us if it isn’t fully repealed before October 2012. Legal experts at the Congressional Research Service warn that a federal judge could force [the Administration] to revive CLASS after this key deadline in the law expires.”

    The CLASS Act, like the rest of Obamacare, is rife with problems. The repeal bill is expected to be taken up by the entire House in February.

    Posted in Obamacare [slideshow_deploy]

    7 Responses to Obamacare Is Losing CLASS Fast

    1. Bobbie says:

      It really isn't right to put or have government control in the area of personal health care and when the market was handling it fine while government was suppose to be sure insurance companies and all health related costs weren't corrupting their clients. Although without admission, the government and it's costs that increase with every bit of incompetence, irresponsibility, fraud and corruption is the cause both directly and indirectly for all the reasons claimed that insists on national health care! Since this type of government controlled policy has failed around the world, how about stopping the pain and do something we haven't. Private market health care!!!! Ron Paul is the only one that mentioned it. Broad and vague is everyone else…
      It's what's fair. the ss buck should stop here to 55 and under while 55 and over continue to pay as they will be the last of the phase out and all elderly social services should remain until the phase out. national health care isn't for America and suspect when government wants to make it that way!

    2. CSOlson says:

      Most people overestimate the cost of a good long-term care policy. A healthy, married couple in their mid/late fifties, can share a policy that starts off with over a half million in benefits for about $100 per month per spouse.
      There’s a new type of government-approved long-term care policy that can protect your assets from Medicaid even after the policy runs out of benefits. Here’s an explanation of how these policies work:
      http://bit.ly/How-Partnership-Policies-Protect-As

    3. CSOlson says:

      Most people overestimate the cost of a good long-term care policy. A healthy, married couple in their mid/late fifties, can share a policy that starts off with over a half million in benefits for about $100 per month per spouse.
      There’s a new type of government-approved long-term care policy that can protect your assets from Medicaid even after the policy runs out of benefits. Here’s an explanation of how these policies work:
      http://bit.ly/How-Partnership-Policies-Protect-As

    4. Charles Webb says:

      The repeal of the Class Act, by or before October 2012, will be a great start in the overall appeal of Obama and his Care. Remember Obama Care was forced on us. We will be watching.

    5. Dorothy says:

      If the Supreme Court rules it is illegal and unconstitutional for government to force its citizens to purchase medical insurance from a private company by making it a requirement and then give you penalties if you do not. Then will requiring us to maintain car insurance and then giving penalties for not carrying that insurance be made illegal as well? There are US citizens who feel it is a violation of their rights to be made by government to pay for the privilege to drive their car on the road (insurance and car tag every year).

      • Bobbie says:

        When you are in control of a motorized vehicle that can be a lethal weapon as far as accidents it's fair for whoever caused the accident to pay the consequences that infringed with all others on the road. Insurance helps defer that total amount of damages. People who have health maintain it personally, the way they see fit. If it requires doctors aid the person is responsible to pay where insurance helps defer the costs. Driving involves more life than your own. Your health only effects mine when I have to pay anything for yours. I'm not in control of your behavior where I am in my driving. It's offensive to have people look at car insurance as a violation when accidents in your control, kill my loved one.

    6. catherine says:

      The American Action Forum also believes the CLASS Act should be repealed. To read more check out http://americanactionforum.org/topic/class-act-wa

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