Friday, February 01, 2013

The New ObamaRate$

Remember this:

"Your health insurance premiums will decrease by 3000%"

Yeah, no:

"[T]he Internal Revenue Service (IRS) assumed that under Obamacare the cheapest health insurance plan available in 2016 for a family will cost $20,000 for the year ... In the examples, the IRS assumes that families of five who are uninsured would need to pay an average of $20,000 per year to purchase a Bronze plan in 2016."

Which is, of course, much higher than any (non-enforceable) penalty tax that might be due.

Adding insult to injury, those expected rate increases will be coming in ahead of schedule. In email this morning from Aetna:

"On January 17th, we sent an email message announcing our decision to discontinue the initial 12-month rate guarantee for new business policies with a January 15, 2013 or later effective date ... To prepare for 2014 when new health care reform changes regarding products and rates will take effect"

As Aetna notes, they are not the only carrier to make this change, and I can't imagine any other carrier sticking with annual rate guarantees from here on out.

Glad we passed it to find out what's in it?
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