Second Catholic university may drop health insurance

posted at 3:21 pm on May 17, 2012 by Ed Morrissey

On the heels of the decision by Franciscan University to dump their health insurance due to the combined effects of the HHS mandate and escalating costs, Fox News reports that a second Catholic university may opt to cancel their insurance coverage.  For Ave Maria University in Florida, the issue appears to mainly be about the costs:

Like Franciscan University — the Steubenville, Ohio, school that just announced it is dropping student coverage — Ave Maria officials are opposed to the so-called contraceptive coverage mandate. But for both schools, premium costs associated with new coverage requirements appear to be fueling their anxiety.

“We’re studying it right now,” Ave Maria University President James Towey told FoxNews.com. “My own sense is, I don’t see … how it makes sense for us to stay in this.”

University officials plan to meet Monday to discuss their insurance options and potentially make a decision.

Towey said the school’s insurance provider told them that students would be looking at a premium increase ranging from 65 to 82 percent in the coming year if no changes are made.

“At a minimum, we’ve got to communicate to students on why they’re going to see a huge spike in insurance,” Towey said. He added, though, “we just might get out of this business.”

Why are costs skyrocketing for universities?  Their previous health insurance coverage probably calculated risk for the young, healthier average profile of an American college student.  Men and women of that age don’t need comprehensive insurance; they only need hospitalization and basic wellness coverage, and even the latter would be better handled through high-deductible plans rather than expensive comprehensive coverage.  To meet the requirements of health insurance in ObamaCare, schools will have to buy much more robust coverage than necessary for typically healthy college students, and that means a much higher cost.

That’s what happens when government insists on forcing other people to cover the risk cost of others, even when it’s unnecessary.  That’s not a problem limited to ObamaCare in this administration, but ObamaCare plays a large role in Team Obama’s sales pitch for another term, especially in its Life of Julia.  Michael Ramirez of Investors Business Daily shows the essential freeloading nature of Obamanomics (via Instapundit):

Also, be sure to check out Ramirez’ terrific collection of his works: Everyone Has the Right to My Opinion, which covers the entire breadth of Ramirez’ career, and it gives fascinating look at political history.  Read my review here, and watch my interviews with Ramirez here and here.  And don’t forget to check out the entire Investors.com site, which has now incorporated all of the former IBD Editorials, while individual investors still exist.

 

 


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Bigots.

Bishop on May 17, 2012 at 3:24 PM

This “non-issue” is starting to snowball.

NapaConservative on May 17, 2012 at 3:25 PM

Sucks for the students to be uninsured. I’m sure they will vote by transferring to another school next year. Gotta love capitalism, eh?

inthemiddle on May 17, 2012 at 3:25 PM

I am waiting for the death of Julia and hope it comes soon!!!

Reality Checker on May 17, 2012 at 3:25 PM

That is precisely the Plan of Obama and the lefties, have people go onto the Gov’t teet.

Schadenfreude on May 17, 2012 at 3:25 PM

The students pay for their own insurance through the university, so why would the university need to worry about the cost as far as covering students is concerned?

philoquin on May 17, 2012 at 3:29 PM

Sucks for the students to be uninsured. I’m sure they will vote by transferring to another school next year. Gotta love capitalism, eh?

inthemiddle on May 17, 2012 at 3:25 PM

You can’t be serious…

tom daschle concerned on May 17, 2012 at 3:29 PM

Yep, the students can always transfer to another school, and of course pay the higher tuition rates to cover their “free” benefits. Capitalism is kind of cool.

Bishop on May 17, 2012 at 3:30 PM

I think the middleman meant ‘fascism’.

tom daschle concerned on May 17, 2012 at 3:31 PM

Men and women of that age don’t need comprehensive insurance; they only need hospitalization and basic wellness coverage, and even the latter would be better handled through high-deductible plans rather than expensive comprehensive coverage.

Actually, they probably get the wellness care free through the university at the student health services. Office visits are usually free, and generic prescriptions at a low cost.

Wethal on May 17, 2012 at 3:32 PM

All part of the plan…..let’s destroy the private insurance market!

/libs

search4truth on May 17, 2012 at 3:32 PM

Sucks for the students to be uninsured taxpayers to have to foot for their insurance. I’m sure they will vote by transferring to another school next this administration out of office at the end of this year. Gotta love capitalism, eh?

inthemiddle on May 17, 2012 at 3:25 PM

FIFY

NapaConservative on May 17, 2012 at 3:32 PM

bitter fruits of the shameless liberal war on sluts…

in MA (since the 80s when i was in college) a student was required to have health insurance or they wouldn’t enroll you. i don’t recall there was an opt out like romneycare ( but not obamacare) has.

mittens on May 17, 2012 at 3:33 PM

Sucks for the students to be uninsured. I’m sure they will vote by transferring to another school next year. Gotta love capitalism, eh?

inthemiddle on May 17, 2012 at 3:25 PM

Therein lies your problem. You don’t have any idea what Capitalism is.

Fish on May 17, 2012 at 3:33 PM

Sucks for the students to be uninsured. I’m sure they will vote by transferring to another school next year. Gotta love capitalism, eh?

inthemiddle on May 17, 2012 at 3:25 PM

Or, maybe she’ll stay where she is, because the school will be able to offer her lower tuition rates since they don’t provide health insurance. That way, maybe she’ll be able to afford her own plan that’s better than what the school was offering.

See how that works?

Yes, I do love capitalism.

UltimateBob on May 17, 2012 at 3:37 PM

Sucks for the students to be uninsured. I’m sure they will vote by transferring to another school next year. Gotta love capitalism, eh?

inthemiddle on May 17, 2012 at 3:25 PM

Sucks to be a child, over 18, when you get to fight for your country, and especially over 21.

Grow up and get a life!

Schadenfreude on May 17, 2012 at 3:37 PM

Sucks for the students to be uninsured. I’m sure they will vote by transferring to another school next year. Gotta love capitalism, eh?

inthemiddle on May 17, 2012 at 3:25 PM

When exactly did health insurance become part of the student college experience? We didn’t have that. ‘Course we didn’t have food stamps or student loans either.

Portia46 on May 17, 2012 at 3:38 PM

That is precisely the Plan of Obama and the lefties, have people go onto the Gov’t teet.

Schadenfreude on May 17, 2012 at 3:25 PM

…they called that here…before they even voted on ObamaCare.

KOOLAID2 on May 17, 2012 at 3:38 PM

Ramirez is a national jewel.

Schadenfreude on May 17, 2012 at 3:38 PM

Yep, the students can always transfer to another school, and of course pay the higher tuition rates to cover their “free” benefits. Capitalism is kind of cool.

Bishop on May 17, 2012 at 3:30 PM

Ya beat me to it.

UltimateBob on May 17, 2012 at 3:38 PM

I am waiting for the death of Julia and hope it comes soon!!!

Reality Checker on May 17, 2012 at 3:25 PM

I believe the Death Panels have already been convened.

Lily on May 17, 2012 at 3:40 PM

I am waiting for the death of Julia and hope it comes soon!!!

Reality Checker on May 17, 2012 at 3:25 PM

“You misogynist, you” — The Left

Schadenfreude on May 17, 2012 at 3:44 PM

Ramirez forgot the part about paying for little Zachary.

MidniteRambler on May 17, 2012 at 3:46 PM

I hope the RNC comes out with a ‘Get a Job Julia” bumper sticker.

meci on May 17, 2012 at 3:47 PM

Has everyone forgotten the 9-0 SCotUS shutout (http://en.wikipedia.org/wiki/Hosanna-Tabor_Evangelical_Lutheran_Church_and_School_v._EEOC) that said that government couldn’t have a say on the hiring (or firing) of relgious organizations? I would think that all these universities would have to do is just fire those demanding those perks on their insurance. Would be easier.

nobar on May 17, 2012 at 3:47 PM

Health insurance is gay…

Seven Percent Solution on May 17, 2012 at 3:49 PM

I am waiting for the death of Julia and hope it comes soon!!!

Reality Checker on May 17, 2012 at 3:25 PM

Holy crap. The despicable Alan Grayson was right – Republicans do want you to die quickly!

:)

Common Sense Floridian on May 17, 2012 at 3:50 PM

Sucks for the students to be uninsured. I’m sure they will vote by transferring to another school next year. Gotta love capitalism, eh?

inthemiddle on May 17, 2012 at 3:25 PM

Actually, that’s exactly how capitalism works. If the vendor, in this case the university, doesn’t give the customer, in this case the student, what they want, the customer is free to take their business elsewhere.

That went right over your head, didn’t it?

CurtZHP on May 17, 2012 at 3:50 PM

*perks being abortion services, sorry I didn’t make that clearer.

nobar on May 17, 2012 at 3:50 PM

inthemiddle on May 17, 2012 at 3:25 PM

Capitalism Sharia?

NotCoach on May 17, 2012 at 3:53 PM

Ramirez is a national jewel.

Schadenfreude on May 17, 2012 at 3:38 PM

Indeed he is. He has been absolutely spot on, especially of late.

inthemiddle

Teet sucker?

Bmore on May 17, 2012 at 3:54 PM

Drudge headline: Born in Kenya

Rut roh.

ICanSeeNovFromMyHouse on May 17, 2012 at 3:56 PM

Sucks for the students to be uninsured. I’m sure they will vote by transferring to another school next year. Gotta love capitalism, eh?

inthemiddle on May 17, 2012 at 3:25 PM

the vast majority will be covered under their parents coverage still.

But, even so – yes, if other schools can afford to pay for health insurance under Obamacare’s driving costs up – and students want insurance from their schools, then by all means, they are free to transfer.

Gotta love those “middle of the road”, moderates who hate capitalism, eh? Or did you give up pretending not to be a far-leftist?

Monkeytoe on May 17, 2012 at 3:59 PM

philoquin on May 17, 2012 at 3:29 PM

Duh,the premiums will be going sky high.

docflash on May 17, 2012 at 4:03 PM

HEY !

That cartoon is the female representation of my brother in law, who I do expect will be asking those questions of me once our parents pass.

Yep, going to be good times with him and my sister living in my extra room, eating my food, drinking my beer and smoking my cigars as they will long have been foreclosed on and spent any inheritance given.

cougar on May 17, 2012 at 4:06 PM

Franciscan College is a conservative Catholic college, and it doesn’t hide that fact. Most of its students are Catholics who choose to adhere to the teachings of the Church and, though they are happy to lose their insurance, I think most understand and support the reasoning of those in charge. For the non-
Catholics who attend, they should have known that this college was a conservative Catholic college and expected it to adhere to the Church’s teachings , even those they don’t agree with. If they didn’t know this, it is their own fault. If the insurance issue bothers them, they are free to go to another college since no one has forced them to attend this one.

lukjuj on May 17, 2012 at 4:09 PM

Sucks for the students to be uninsured. I’m sure they will vote by transferring to another school next year. Gotta love capitalism, eh?

inthemiddle on May 17, 2012 at 3:25 PM

Or, maybe she’ll stay where she is, because the school will be able to offer her lower tuition rates since they don’t provide health insurance. That way, maybe she’ll be able to afford her own plan that’s better than what the school was offering.

See how that works?

Yes, I do love capitalism.

UltimateBob on May 17, 2012 at 3:37 PM

I cannot take anymore economic retardation. How is the cut for current services going to cover a 60% plus increase? She CANNOT buy a high deductible plan anymore!!!!!!!!!!!!!!!!!

jdsbengaltiger on May 17, 2012 at 4:17 PM

We are all going to see skyrocketing insurance rates. Some insurance companies began notifying corporate clients in February that their policy rates will rise dramatically for the next policy year. Our company just went through this. We began shopping coverage rates for next year within two months into the calendar year in 2012.

I don’t blame Franciscan or Ave Maria for canceling coverage. If many students can remain on their parents’ coverage throughout college, why offer a policy that offends their religious beliefs?ABO 2012. I hope the Supremes drop-kick the mandate.

Philly on May 17, 2012 at 4:19 PM

Sucks for the students to be uninsured. I’m sure they will vote by transferring to another school next year. Gotta love capitalism, eh?

inthemiddle on May 17, 2012 at 3:25 PM

I don’t know if you realize this or not (probably not) but you just confirmed that capitalism is ruined when the government interferes. You’re implying that the students were previously insured before Obama and the Dems f*cked everything up…again.

Thank you for being a lefty and confirming that capitalism works.

Kingfisher on May 17, 2012 at 4:20 PM

Since the cost for healthcare will spike for female students as well, it is clear-cut evidence that Obama hates women.

As for Biden, well, he is still learning about the differences between men and women. You gotta go reeeeaaal slow with Biden.

Kingfisher on May 17, 2012 at 4:22 PM

Sucks for the students to be uninsured. I’m sure they will vote by transferring to another school next year. Gotta love capitalism, eh?

inthemiddle on May 17, 2012 at 3:25 PM

You must not be familar with either Franciscan University or Ave Maria University. They are both very faithful institutions. Students don’t choose them because they disagree with Church teaching. I know multiple individuals who have graduated from both of these schools and they will applaud the schools’ decisions.

Goldenavatar on May 17, 2012 at 4:26 PM

No biggie. The Obama Nanny State considers us children till we’re 26. Students can just glom onto their parents policies. What happens when our parents can’t afford insurance anymore is still TBD.

RobertE on May 17, 2012 at 4:31 PM

All of this pain was for supposedly 10% of the populace.

jukin3 on May 17, 2012 at 4:36 PM

Naturally, this was planned by Obama. Students who need healthcare would be forced to join the military and travel to foreign countries to kill innocent children.

Well, that was one of the excuses we heard during Bush’s term. Remember, war is acceptable when a Democrat is in charge.

Kingfisher on May 17, 2012 at 4:41 PM

But doesn’t Obamacare promise to cover all of these students through their parents’ policy?

And if their parents don’t HAVE a policy, won’t Uncle Sugar help them pay for an expensive (and useless) policy of their own – where they will be responsible for meeting a high deductible and a 35% co-pay?

TeresainFortWorth on May 17, 2012 at 5:13 PM

All of this pain was for supposedly 10% of the populace.

jukin3 on May 17, 2012 at 4:36 PM

Apparently, we are doing all of this for two women. A slut at Georgetown Law and Julia.

I hope there is a coordinated effort between now and November 6th where religious institution after religious institution announces closure, curtailment of insurance, etc due to this mandate. You don’t have to be pro-life to understand just how heinous this mandate is when it comes to letting Americans practice their faith unencumbered by governement edicts.

Happy Nomad on May 17, 2012 at 5:14 PM

The Obama Nanny State considers us children till we’re 26.

RobertE on May 17, 2012 at 4:31 PM

The Obama Nanny State considers us children till we’re 86. At which point any illness results in an invitation to visit the death panel.

Happy Nomad on May 17, 2012 at 5:16 PM

You must not be familar with either Franciscan University or Ave Maria University.

Goldenavatar on May 17, 2012 at 4:26 PM

Forget it. It’s impossible to argue with a closed mind. The blatant stupidity explains why he’s an Obama voter.

Kingfisher on May 17, 2012 at 5:21 PM

Sucks for the students to be uninsured. I’m sure they will vote by transferring to another school next year. Gotta love capitalism, eh?

inthemiddle on May 17, 2012 at 3:25 PM

Actually, that’s exactly how capitalism works. If the vendor, in this case the university, doesn’t give the customer, in this case the student, what they want, the customer is free to take their business elsewhere.

That went right over your head, didn’t it?

CurtZHP on May 17, 2012 at 3:50 PM

Or maybe, since students are only buying insurance because the schools require them to (we certainly didn’t have to at my alma maters in the seventies) they will decide not to be insured at all.
And (assuming that ObamaCare is still legal after the Supreme Court decision, which I hope it will not be) how will the IRS enforce compliance on a group that generally doesn’t have enough income to file a tax return?

AesopFan on May 17, 2012 at 5:31 PM

To use a really old internet expression; “julia” can go DIAF.

She can take her creators with her.

I won’t be upset, really. I’ll cheer them on! Just think of it this way, they can be martyrs!

Wolfmoon on May 17, 2012 at 5:38 PM

My daughter goes there, and while they may be stressing that the cost is a problem, I am 100% positive that they will never participate in the HHS mandate on contraceptives.

teri_b on May 17, 2012 at 5:43 PM

One reason for the increased costs is that ObamaCare does not permit the lower-cost policies that can be designed by insurance companies for young, healthy students. The law requires that the policies be upgraded to provide more comprehensive coverage with higher payment limits.

It is the equivalent of telling General Motors: “You can no longer sell Chevrolets; you can only sell Cadillacs.”

Colony14 on May 17, 2012 at 5:51 PM

One reason for the increased costs is that ObamaCare does not permit the lower-cost policies that can be designed by insurance companies for young, healthy students. The law requires that the policies be upgraded to provide more comprehensive coverage with higher payment limits.

It is the equivalent of telling General Motors: “You can no longer sell Chevrolets; you can only sell Cadillacs.”

Colony14 on May 17, 2012 at 5:51 PM

Where have you been, the average College student needs 3,000 dollars just in contraceptive coverage…try and keep up/

Dr Evil on May 17, 2012 at 6:15 PM

But…..but…..but ObamaCare was going to cover those without insurance, and it wasn’t going to cost any more money. Right? Obama, the economist, said so!

GarandFan on May 17, 2012 at 6:19 PM

this won’t truly be news until Notre Dame drops coverage. They are still a Catholic institution right? Even though they gave the rabidly pro-choice Obama an honorary diploma? Georgetown is a left wing hole, but Notre Dame might still have some principles left, or perhaps not enough dollars to pay for these entitlements.

Daemonocracy on May 17, 2012 at 6:20 PM

Let’s see, there’s 2000 students and undergrads at Ave Maria. If they all kicked in a 100 bucks, I’m sure that would cover the occasional broken arm and appendicitis from the whole school body they may have during a school year. What more do they need?

lowandslow on May 17, 2012 at 7:31 PM

I’m 100% with them, but am soooooo glad this is happening to them.

Many, many U.S. Catholic leaders backed Obamacare even though it stompped all over the rights of millions and is going to put God only knows how many businesses (including mine) out of business if fully implemented.

But now that the Catholic ox is being gored….now they’re up in arms. Maybe it will teach them a much needed lesson.

29Victor on May 17, 2012 at 8:11 PM