Wednesday, May 01, 2013

Obamacare Chaos

Sen. Baucus, whose fingerprints are all over Obamacare, called the law a "train wreck". Comes now David Brooks that refers to the coming train wreck as chaos (not to be confused with KAOS)
Implementation got off to a bad start because the Obama administration didn’t want to release unpopular rules before the election. Regulators have been working hard but are clearly overwhelmed, trying to write rules that influence the entire health care sector — an economic unit roughly the size of France.
New York Times

Sure sounds like someone was politicizing a very unpopular law for the purpose of trying to get re-elected.
Insurance companies are trying to put out new products, but they don’t know what federal parameters they have to meet. Small businesses are angry because the provisions that benefited them have been put on the back burner. Health care systems are highly frustrated. They can’t plan without a road map. Senator Max Baucus, one of the authors of the law, says he sees a “huge train wreck” coming.
There's that train wreck term again. I see a pattern.
I’d say there is a minority, including some supporters of the law, who think the whole situation is a complete disaster. They predict Obamacare will collapse and do serious damage to the underlying health system.
No sheet!
The law’s biggest defenders will then become insurance companies and health care corporations. Having spent billions of dollars adapting to the new system, they are not going to want to see it repealed or replaced.

Then why are so many carriers OPTING OUT of the health insurance exchanges?
Nearly everybody not in the employ of the administration agrees this law does not solve the cost problem, and many of the recent regulatory decisions will send costs higher. A study in California found that premiums could increase by an average of 20 percent for people not covered by federal subsidies. A study by the Society of Actuaries found that by 2017 costs could rise by 32 percent for insurers covering people in the individual exchanges, and as high as 80 percent in states like Ohio.
Those figures are overly conservative.

Cue the music.

blog comments powered by Disqus