Why did Obaminationcare first insist on the Public Option? Because they wanted it to morph into the only option! They didn't get it so they need Plan B, bankrupt the insurance industry and FORCE a single payor option.
Make no mistake, the Democrats want a Europe/Canadian single payor option (something I am not that against).
Obaminationcare has some popular aspects, namely not allowing denial for pre-existing conditions and forcing insurance co's to treat everyone the same regardless of medical history and/or health. Face it, facts are facts, anyone of us can for from A+++ health to uninsurable overnight (it happened to my brother-in-law: Went from healthy athlete to an uninsurable expensive MS patient). As we get older our health decreases and our healthcare needs increase. We all know those days come and that is why so many of us (including myself) see these items as favorable.
HOWEVER, there is a BUSINESS perspective here that cannot be overlooked! The cost of insuring a sick and/or injured person who would have previously be considered uninsurable is a HUGE cost and HUGE loser for the insurance company that insures him. That is why he/she was previous uninsurable. Take the emotion and moral issues, out of it and you can see this causes a problem for a company trying to stay in business!
So what was supposed to be the trade off or offset these huge financial burdens to the insurance companies:
(1) The mandate: This was the main and really only one. Get people without insurance to pay for insurance or face a tax.
First, even if you could get all the people without insurance to get insurance it wouldn't offset the costs to the insurance companies. Cost to insure the sick would outweigh by a large margin the income of insuring the healthy.
Second, many of the people without insurance are those "pesky" uninsurable people (insuring them is not going to save insurance Co's money). It's overstated that many don't have insurance because they are young and health. Most without insurance are people who need it and cost more to the insurance co then they bring in.
Third, health insurance costs are going to skyrocket. Are people naive enough to believe people without employer plans will be able to afford even HIGHER insurance costs. I guarantee most will not get insurance (like they do now) and either pay the really no so stinging tax or not pay the tax. Most of the people who won't pay the tax are low waged Obama base supporters, do you really believe he will instruct the IRS to hammer this negative headlines human interest stories in the making? Not a chance, so the incentive to get insurance is NOT there.
In fact the incentive to do the opposite is. Previously you needed insurance BEFORE you got sick otherwise you couldn't get insurance or treatment. Now everyone is treated the same and there can't be denial for preexisting conditions. Therefore, people can holdoff from getting insurance until they need. Then they can get it when they need it without fear of denial or higher fees for being sick. They are blackhole on the profits of insurance co. Yes there is the risks from emergencies (such as having a heart attack), but many more, not less, will take those risks. The "tax" will not prevent this as it hasn't prevented this is MA!
(2) Forcing Businesses To Get Employer Plans: This was the BIGGEST RED HERRING by both sides. First, this only effect companies with 50 employees or greater! How many businesses with 50 employees or greater do not have employer based plans? Few if any! So the GOP claim it will bankrupt small businesses that can't afford plans is red herring, but so is the Obama claim he will force your employer to get insurance. Bottom line: There will not be more or less employers spliting the bill in 2014!
Summary:
(1) Obaminationcare is anything but affordable; in fact it will make health insurance unaffordable to everyone: Drive up the costs to the insurees and employers with the medical plan in form of premiums, coverage, deductibles and co-pays, while reducing non-forced benefits (mental health see ya later)! We are seeing the ramp up now and Obaminationcare isn't set to kick in until 2014!!!
(2) Impossible for Insurance Co's to operation profitable (meaning inevitable bankruptcy): They are going to be forced to added millions of people who were previous uninsurable creating huge blackholes on the books for each one of those millions, with no real way to offset this burden.
(3) The mandate will work in reverse: It will not overset the forced insuring of the uninsurable high costs even if it worked as planned. The people who wait until they get sick and then get insurance will be huge blackholes and not what that mandate was supposed to provide.
(4) The Small Business Provision was nothing more than a talking point by both sides.
(5) The goal by design: Make health insurance so costly that people and business can't afford it and even more people turn against the private sector based insurance system. Bankrupt the insurance industry by forcing them to insure financial blackholes, with no real source to offset those blackholes!
Make no mistake, the Democrats want a Europe/Canadian single payor option (something I am not that against).
Obaminationcare has some popular aspects, namely not allowing denial for pre-existing conditions and forcing insurance co's to treat everyone the same regardless of medical history and/or health. Face it, facts are facts, anyone of us can for from A+++ health to uninsurable overnight (it happened to my brother-in-law: Went from healthy athlete to an uninsurable expensive MS patient). As we get older our health decreases and our healthcare needs increase. We all know those days come and that is why so many of us (including myself) see these items as favorable.
HOWEVER, there is a BUSINESS perspective here that cannot be overlooked! The cost of insuring a sick and/or injured person who would have previously be considered uninsurable is a HUGE cost and HUGE loser for the insurance company that insures him. That is why he/she was previous uninsurable. Take the emotion and moral issues, out of it and you can see this causes a problem for a company trying to stay in business!
So what was supposed to be the trade off or offset these huge financial burdens to the insurance companies:
(1) The mandate: This was the main and really only one. Get people without insurance to pay for insurance or face a tax.
First, even if you could get all the people without insurance to get insurance it wouldn't offset the costs to the insurance companies. Cost to insure the sick would outweigh by a large margin the income of insuring the healthy.
Second, many of the people without insurance are those "pesky" uninsurable people (insuring them is not going to save insurance Co's money). It's overstated that many don't have insurance because they are young and health. Most without insurance are people who need it and cost more to the insurance co then they bring in.
Third, health insurance costs are going to skyrocket. Are people naive enough to believe people without employer plans will be able to afford even HIGHER insurance costs. I guarantee most will not get insurance (like they do now) and either pay the really no so stinging tax or not pay the tax. Most of the people who won't pay the tax are low waged Obama base supporters, do you really believe he will instruct the IRS to hammer this negative headlines human interest stories in the making? Not a chance, so the incentive to get insurance is NOT there.
In fact the incentive to do the opposite is. Previously you needed insurance BEFORE you got sick otherwise you couldn't get insurance or treatment. Now everyone is treated the same and there can't be denial for preexisting conditions. Therefore, people can holdoff from getting insurance until they need. Then they can get it when they need it without fear of denial or higher fees for being sick. They are blackhole on the profits of insurance co. Yes there is the risks from emergencies (such as having a heart attack), but many more, not less, will take those risks. The "tax" will not prevent this as it hasn't prevented this is MA!
(2) Forcing Businesses To Get Employer Plans: This was the BIGGEST RED HERRING by both sides. First, this only effect companies with 50 employees or greater! How many businesses with 50 employees or greater do not have employer based plans? Few if any! So the GOP claim it will bankrupt small businesses that can't afford plans is red herring, but so is the Obama claim he will force your employer to get insurance. Bottom line: There will not be more or less employers spliting the bill in 2014!
Summary:
(1) Obaminationcare is anything but affordable; in fact it will make health insurance unaffordable to everyone: Drive up the costs to the insurees and employers with the medical plan in form of premiums, coverage, deductibles and co-pays, while reducing non-forced benefits (mental health see ya later)! We are seeing the ramp up now and Obaminationcare isn't set to kick in until 2014!!!
(2) Impossible for Insurance Co's to operation profitable (meaning inevitable bankruptcy): They are going to be forced to added millions of people who were previous uninsurable creating huge blackholes on the books for each one of those millions, with no real way to offset this burden.
(3) The mandate will work in reverse: It will not overset the forced insuring of the uninsurable high costs even if it worked as planned. The people who wait until they get sick and then get insurance will be huge blackholes and not what that mandate was supposed to provide.
(4) The Small Business Provision was nothing more than a talking point by both sides.
(5) The goal by design: Make health insurance so costly that people and business can't afford it and even more people turn against the private sector based insurance system. Bankrupt the insurance industry by forcing them to insure financial blackholes, with no real source to offset those blackholes!
