ObamaCare’s health-insurance sticker shock
We compared the average premiums in states that already have ObamaCare-like provisions in their laws and found that consumers in New Jersey, New York and Vermont already pay well over twice what citizens in many other states pay. Consumers in Maine and Massachusetts aren’t far behind. Those states will likely see a small increase.
By contrast, Arizona, Arkansas, Georgia, Idaho, Iowa, Kentucky, Missouri, Ohio, Oklahoma, Tennessee, Utah, Wyoming and Virginia will likely see the largest increases—somewhere between 65% and 100%. Another 18 states, including Texas and Michigan, could see their rates rise between 35% and 65%.
While ObamaCare won’t take full effect until 2014, health-insurance premiums in the individual market are already rising, and not just because of routine increases in medical costs. Insurers are adjusting premiums now in anticipation of the guaranteed-issue and community-rating mandates starting next year. There are newly imposed mandates, such as the coverage for children up to age 26, and what qualifies as coverage is much more comprehensive and expensive. Consolidation in the hospital system has been accelerated by ObamaCare and its push for Accountable Care Organizations. This means insurers must negotiate in a less competitive hospital market.
Although President Obama repeatedly claimed that health-insurance premiums for a family would be $2,500 lower by the end of his first term, they are actually about $3,000 higher—a spread of about $5,500 per family.
Blowback
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Why is anybody “shocked” in any way that massive government intervention into a large and complex private industry that hundreds of millions of people are involved with would affect prices?
Good Lt on January 14, 2013 at 12:23 PM
Don’t complain, America.
You were stupid enough to vote for it. Twice.
Good Lt on January 14, 2013 at 12:24 PM
And if you can’t afford these outrageous insurance costs you will have pay tax penalty for being too poor to afford health insurance.
tommyboy on January 14, 2013 at 12:28 PM
It’s all proceeding according to plan. Insurance death spiral, here we come…
obladioblada on January 14, 2013 at 12:32 PM
once it become clear it’s cheaper to pay the tax people will drop their insurance and wait to get sick before buying insurance again.
bannor on January 14, 2013 at 12:34 PM
Not surprising that we only hear of this from the WSJ. Won’t hold my breath waiting for a similar piece from NYT or WaPost.
besser tot als rot on January 14, 2013 at 12:35 PM
Obama already chased me off my wife’s health plan. Expect it won’t be long before it makes more economic sense for us to get a divorce too.
The Count on January 14, 2013 at 12:35 PM
How long before our king enacts single payer as a solution to this “crisis”?
That he created.
PattyJ on January 14, 2013 at 12:38 PM
My friend’s son works for a video game company. The owner had a meeting and told the employees point blank that because of Obama’s election they would now be paying more for worse insurance. These are mostly young people in their 20′s, some with families. They were surprised!
Rose on January 14, 2013 at 12:39 PM
Glad to hear some employers are willing to give their employees the straight talk that the media/entertainment complex will not.
The Count on January 14, 2013 at 12:43 PM
If only they paid attention to politics instead of video games they wouldn’t have been surprised.
D-fusit on January 14, 2013 at 12:49 PM
It sort of reminds me of the same mindset that believes the same blanket solutions are the answer for 26 year old California
womengirls and 26 year oldmenboys in Alabama.The sort of person who would make a statement like “I still don’t understand why anyone would need more than a revolver for self defense and a bolt action rifle for hunting.”
Obama 2013 or something! Whatever!
rogerb on January 14, 2013 at 12:50 PM
My wife’s health insurance premium is up 36 percent since 2010.
Dasher on January 14, 2013 at 12:50 PM
I thought costs were going to decrease by 3000%.
forest on January 14, 2013 at 12:53 PM
D-fusit on January 14, 2013 at 12:49 PM
Yep. Maybe they will now.
Rose on January 14, 2013 at 12:54 PM
Just keep in mind that anything that comes out of his
pie holefetid, oral sewer pipe is a damnable lie.Anyone paying any attention whatsoever during the 2008 election cycle should have picked that up.
But he was so clean and articulate…
The good news is that private insurance premiums will not be going up for much longer because there won’t be any private health insurance firms. They will be forced out of business when they go into direct competition with the government.
What Barney Frank said in his unguarded moment is the truth – all of this is engineered to force the nation into crisis, the only solution to which is single payer.
turfmann on January 14, 2013 at 12:56 PM
AKA we told you so, volume 531
Chuck Schick on January 14, 2013 at 12:56 PM
I just got the memo from my employer this morning. The school’s premiums are going up by 24.35%, and therefore our employee contribution is going up by 20% effective February 1. Between this and the expiration of the payroll tax holiday, I’m taking a hit of about $765 a year. On my pittance of a salary, that’s about 12 days worth of take-home pay.
But, hey, gay people will be able to get married soon (but I’m straight), and pot is decriminalized in a few states (but not mine), so I’ve got that going for me (sort of).
JimLennon on January 14, 2013 at 12:59 PM
Heh
Schadenfreude on January 14, 2013 at 1:00 PM
That’s our insurance and we just had a baby. Super.
Chuck Schick on January 14, 2013 at 1:03 PM
Wow, that Obama guy sure is a smart cookie. We should elect him President.
Bitter Clinger on January 14, 2013 at 1:07 PM
Additionally, it’s basic math. You can’t cover more people for more things and limit copays, keep 26 year old “children” on their parents policies and magically expect A+B+C+D+E to equal less than “A”. Hard to believe that many Americans were just that stupid. On second thought I have two kids in the public school system, I can believe it.
hopeful on January 14, 2013 at 1:12 PM
There’s a reason why Obama, as a recent Harvard Law graduate, needed to have a claims adjuster explain to him why his liability coverage would not pay for the collision damage to his car. Obama is an economic illiterate, and his knowledge of insurance, like his knowledge of most subjects, is extremely shallow.
Obama memorizes a few buzzwords and key concepts so that he can feign being knowledgeable about a topic when speaking about the subject to people who are gullible and even more ignorant than he is. Unfortunately, gullible and ignorant describes a majority of our electorate in this country.
AZCoyote on January 14, 2013 at 1:31 PM
Actually most people are opposed to Obamacare and DIDN’T vote for the one. Vote fraud elevated the one to victory.
Funny, we don’t hear more about the stolen election and now our health, guns, freedom, money, are all being taken at record speed.
NEVER LET A CRISIS GO TO WASTE!!!!!!
nazo311 on January 14, 2013 at 1:33 PM
Oh, they’ll comment on it soon enough. But the many, many failures (present and future) of ObamaCare shall be blamed upon the “free market,” “greedy” insurance companies, “greedy” doctors, the GOP, evil corporations, and “rich” people not paying their “fair share.”
Oh, and racism. Racism will also be to blame. Can’t forget that one.
visions on January 14, 2013 at 1:41 PM
He just has to make sure congress will not be stupid enough to stand in his way and then the EOs will be issued as fast as his autopen can sign them.
Dr. Frank Enstine on January 14, 2013 at 1:45 PM
I don’t care. Obama is awesome.
BobMbx on January 14, 2013 at 1:47 PM
Sssshhhh…its Bush’s fault.
BobMbx on January 14, 2013 at 1:48 PM