I was hosting a show on Obamacare and I made the remark that I didn’t expect premiums to go this high this soon. Boy was I wrong. The reality is that Obamacare is going to cost us all big time!
Depending upon which part of the country you are in, the increase could be dramatic. Reports are that some premiums in Minnesota are up as high as 49%. Around the DFW area, you could expect 10 to 20% increases.
That is not all. Even the cheapest plans are up 11% on average. If you aren’t lucky enough to be the benefactor of a subsidy to offset the costs, chances are that the average American won’t be able to pay for really bad health insurance and the cheap plans are the worst.
The US Health and Human Services department desperately wants you to believe otherwise. They want you to believe that it is affordable. They made this statement the other day.
“While every market is different, and the reasons for rate changes vary, what’s important for consumers to understand is that about 8 out of 10 returning consumers will be able to buy a plan with premiums less than $100 a month after tax credits; and about 7 out of 10 will have a plan available for less than $75 a month.”
I don’t know which country they are talking about. Most reports I see is that even with the subsidy the average American still can’t afford to pay for subsidized bad healthcare. Once again, these lower cost plans are not very good plans. I have heard time and time again consumers would rather go without than pay for these plans.
What’s worst, the health insurers have dramatically chipped away at benefits this year. They have changed prescription drug plans to where the consumer is paying more of the cost. Carriers like Blue Cross Blue Shield have done away with their PPO plans and changed them into HMO plans. Good luck finding your doctor on those networks. There are benefit limits and all types of new twists to save the insurer money.
If after only 2 years going on year 3 this is how bad it is, can you imagine what the system will look like in a few years?
Here is the reality of it – The government needs millions of extra people to sign up just to make it work. Insurers are cutting benefits to the bone. The reality is that the government will have a hard time achieving these ambitious goals and more than likely fall short. So, who pays for it? That is the most unfortunate news of all – you and I. Welcome to socialism!