On October 1st, insurance rates were released for individuals and while most people were taking the government website for a test drive (very few people have signed up) the premiums are not lower as were promised by the President a few years ago. My sister, for example, just informed me that her new family premium is going up 80%. Wait until everyone else gets their renewal premium notices. That is when the stuff will really hit the fan!
Dave Ramsey has a great short video about the math for you to listen to; click here to listen.
How much are individuals medical premiums going up? The premium numbers are finally available.
- for an adult age 27 the premium more than doubled.
- for an adult age 50, it rose 42%
- for a family of four, they rose 12%
The costs go up everywhere, except in the states that already had the highest rates prior to the Affordable Healthcare Act’s roll out.
Keep in mind that a 400-hundred pound man with a terrible health history is paying the same as someone his age that has no medical conditions. Great for the 400-pounder, but for the math to work; a group of perfectly healthy people need to pay a higher premium so that the poor health risk person can have coverage at the same rate.
Healthy people pay more in the name of “fairness” to subsidize unhealthy people.
Now that the budget issue is behind us for the time being, the focus will begin on the real impact of the new healthcare law. The biggest long-term impact of this law is creating a massive new entitlement program that once people (voters) get enrolled into, they will never want to give up. The other MAJOR IMPACT WILL BE THE DECLINE IN MEDICAL CARE AS DOCTORS LEAVE THE PROFESSION (click for today’s WSJ article).
Fiscal conservatives that attempt to curb the subsidized insurance will be scorned by the media as they always are when they try to scale back on any entitlement programs. It will be a tough fight. Time will tell how it all works out.
Rather than just trying to de-fund this horrifically conceived legislation, a better plan needs to be brought to the table.
WHAT WOULD YOU RECOMMEND? Please share your ideas…….