Well sort of. The cost of health insurance is determined by the amount the company spends on healthcare claims plus their overhead plus their profit. Profit margins of the heath insurance sector is not very high, 3.3%. Compare to real estate and banking at 20% and drug companies at 22%. This probably accounts for the fact that are few new companies entering the market. Today 50% of the healthcare market is nonprofit and over 80% of our healthcare costs are paid by an insurers.Those are premiums on the exchanges where only 14% of American get their insurance. You get these anomalies every year for certain age groups in certain areas of the country where the insurance pools are small and claims are high.Repealing it would be almost impossible with the Senate as it is today. However, certain parts of the law can be change.If Obamacare is not repealed and replaced by the midterms, there should be hell to pay for incumbent Republicans who would not figure out a way to get it done.
I would be fine with removing the worst elements, but something needs to be done to undo that shit show.
Rates are up 115% in Arizona this year....it's an absolute Dumpster Wreck...or a Train Fire, take your pick.
Most of the people buying insurance on the exchanges are doing so because they can't get employee sponsored insurance. Most of them have fairly serious pre-existing conditions and have chronic medical problems. At least half exceed their deductible every year. Their financial risk to the insurer is 4 times that of the average employee sponsored group plan and thus their premium is much higher and the size of the pool makes premium variations erratic.
Let's take a serious look at how much premiums have increase in 2016.
Employee Sponsored insurance 3%
Medicare 4%
Medicaid 0%
Individual Insurance 22%, 8% after subsidies.
The health insurance market is stable in most all areas of the country and there is no indications of collapse. The average increase in premiums paid by the public is only slightly higher than the increase in healthcare cost.
And the increase in healthcare costs is due to insurance.