health

Here is your Obamacare, America: Health insurers raise rates by double digits

Thursday, January 10, 2013 by: J. D. Heyes
Tags: Obamacare, health insurance rates, rising

eTrust Pro Certified

Delicious Pin It
(NaturalNews) One of the primary drivers behind President Obama's quest for Uncle Sam to take over one-seventh of the U.S. economy by engulfing the healthcare industry was that such a huge usurpation of the private sector would at least lead to lower insurance premiums for Americans.

Like so many other aspects of "Obamacare" over which the public was hoodwinked, now comes news that the promise of lower premiums will be, shall we say, elusive, for millions of consumers.

"Health insurance companies across the country are seeking and winning double-digit increases in premiums for some customers, even though one of the biggest objectives of the Obama administration's health care law was to stem the rapid rise in insurance costs," The New York Times reported recently.

Who are the most vulnerable to the increases? That would be small businesses and people who don't otherwise have employer-provided insurance and who will be forced, thanks to a summer ruling by the U.S. Supreme Court upholding as constitutional the law's individual mandate requiring everyone - and every business with more than a few employees - to buy coverage.

Face it - premiums are heading higher, period

In California, insurance giants Aetna, Anthem Blue Cross and Blue Shield are proposing to hike rates by 22, 26 and 20 percent respectively for some policy holders, according to the companies' filings with the state for 2013. "These rate requests are all the more striking after a 39 percent rise sought by Anthem Blue Cross in 2010 helped give impetus to the law, known as the Affordable Care Act, which passed the same year and will not be fully in effect until 2014," the Times reported.

In other states such as Ohio and Florida, insurance companies have managed increases of at least 20 percent for some policy holders - increases which can amount to as much as several hundred dollars per month.

Those compare with an average of about 4 percent increases for those with employer-based policies, said the Times.

The double-digit increases come even as some estimates put overall healthcare costs on the decline in recent years as more Americans put off treatment for a variety of conditions due to the economic effects of the Great Recession.

"Growth in health care spending in the United States has slowed considerably since 2009," says a report from PricewaterhouseCooper, a financial consulting company. "PwC's Health Research Institute projects medical costs will increase 7.5 percent for 2013, the fourth year in a row of relatively flat growth."

So at a growth rate of 7.5 percent per annum - which is still high - why are insurance companies requesting double-digit rate increases? Well, insurers say that medical costs for some policy holders have risen much faster than the average.

And federal officials have essentially said, hey, rates would be even higher without the law.

Sick, older people cost more

But why are rates skyrocketing? Because the insurance companies are now being forced to cover more people - especially more sick people - thanks to the law. And covering sick people is expensive.

"We need these rates to even come reasonably close to covering the expenses of this population," Tom Epstein, a spokesman for Blue Shield of California, told the Times.

Sally Pipes, president of the Pacific Research Institute, a public policy think tank, notes that during his initial bid for the presidency in 2008, Obama promised Americans that by the end of his first term health insurance rates for the average family will have fallen to $2,500 a year.

"Premiums have increased by an average of $3,065. And they're about to go up even more, as Obamacare takes effect during the president's second term," she writes in Forbes.com.

Mark Bertolini, the CEO of Aetna, the third-largest health insurer in the country, predicted as much. He said as the full weight of Obamacare's massive taxes and new regulatory burdens hit the medical industry by 2014, rates will have risen, on average, between 20-50 percent.

Don't forget to thank the president and Congress

For some, rates will double. "We're going to see some markets go up as much as 100 percent," he told Bloomberg News.

"A shock?" writes Pipes. "Not to those who've been paying attention. When Obamacare was making its way through Congress, the Congressional Budget Office warned that premiums in the individual market would increase by 10-13 percent."

Even those involved in crafting the law for the president admitted it would increase rates.

Jonathan Gruber, an economics professor at the Massachusetts Institute of Technology, one of the law's primary architects, "estimated that premiums in Wisconsin would rise by about 30 percent by 2016 following implementation of the law," the Times said. But that's less than most of the state's individual insurance market, which he estimated would rise by about 41 percent.

Part of the reason why is the law's coverage mandates. Older folks tend to eat up more in health care costs, and since everyone has been tossed into the same blanket coverage, younger folks now have to pay the difference in costs for older - or sicker - Americans.

Says Pipes: "In other words, health insurance costs are going up. And for that, you can thank Obamacare."

Sources:

http://www.nytimes.com

http://www.forbes.com

http://www.naturalnews.com/036341_Obamacare_new_taxes_mandate.html

Get breaking news alerts on GMOs, fluoride, superfoods, natural cures and more...
Join over four million monthly readers. Email privacy 100% protected. Unsubscribe at any time.


Have comments on this article? Post them here:

comments powered by Disqus

Take Action: Support NaturalNews.com

Email this article to a friend

Permalink to this article:

Reprinting this article: Non-commercial use OK, cite NaturalNews.com with clickable link.

Embed article link: (copy HTML code below):
Most Popular
Today | Week | Month | Year

See all Top Headlines...



GET SHOW DETAILS
+ a FREE GIFT

Now Available at ShopNaturalNews.com

O3 Essentials OraJuvenate™
A powerful, cleansing dental cream for maximum oral/dental health.
New Cancer Solutions
Over 3 hours of content covering today’s best cancer tests, how to kill cancer cells and the best diets and exercise routines.
Freeze-Dried 100% Organic Whole Corn
Our freeze-drying method preserves taste, texture and nutrients better than any other food preservation method ever invented.
Fenix TK35 Flashlight
Tough, waterproof, extremely bright and it’s touted to throw an 800+ lumen beam more than 1,000 feet into the night.
Inca Treasure Smoothie Pack
This pack of our four most popular superfoods from South America is the perfect combo pack for smoothie lovers.
Pink Himalayan Salt
This salt delivers significant levels of magnesium, zinc and selenium, with trace levels of dozens of other elements.
Pinhole Glasses - Aviator Style
Pinhole glasses are becoming famous for helping people improve their vision without the risks of laser surgery.
Oxy-Rich Facial Serum
O3 Essentials Jojoba Oxy-Rich Facial Serum is cellular nourishment for your skin. Helps smooth fine lines while enhancing tissue elasticity.
Freeze-Dried 100% Blackberry Halves
Our freeze-dried blackberry halves are grown in Serbia under strict organic standards.

Also on NaturalNews:

Health Ranger Videos
Activist music
CounterThink Cartoons
Food documentaries
FREE Special Reports
Podcasts
Colloidal Silver

Advertise with NaturalNews...

Support NaturalNews Sponsors:

Advertise with NaturalNews...

Most Popular Stories

Flu shot kills 19-year-old, but vaccine industry still has total immunity against lawsuits
Here's a nutty fact: Eating more tree nuts lowers the risk of all-cause death by up to 20 percent
Six important facts you're not being told about lost Malaysia Airlines Flight 370
Malaysia Airlines Flight 370 now clearly a government cover-up: All evidence contradicts official story
10 other companies that use the same Subway yoga mat chemical in their buns
BLM fracking racket exposed! Armed siege and cattle theft from Bundy ranch really about fracking leases
High-dose vitamin C injections shown to annihilate cancer
U.S. treating meat with ammonia, bleach and antibiotics to kill the '24-hour sickness'
USDA to allow U.S. to be overrun with contaminated chicken from China
Vaccine fraud exposed: Measles and mumps making a huge comeback because vaccines are designed to fail, say Merck virologists
Battle for humanity nearly lost: global food supply deliberately engineered to end life, not nourish it
Diet soda, aspartame linked to premature deaths in women

25 Amazing Facts About Food

This FREE downloadable report unveils a collection of astonishing and little-known facts about the food we eat very day. Click here to read it now...

 

Resveratrol and its Effects on Human Health and Longevity - Myth or Miracle.

Unlock the secrets of cellular health with the "miracle" nutrient Resveratrol Click here to read it now...

 

Nutrition Can Save America

FREE online report shows how we can save America through a nutrition health care revolution. "Eating healthy is patriotic!" Click here to read it now...

The Healing Power of Sunlight and Vitamin D

In this exclusive interview, Dr. Michael Holick reveals fascinating facts on how vitamin D is created and used in the human body to ward off chronic diseases like cancer, osteoporosis, mental disorders and more. Click here to read it now...

Vaccines: Get the Full Story

The International Medical Council on Vaccination has released, exclusively through NaturalNews.com, a groundbreaking document containing the signatures of physicians, brain surgeons and professors, all of which have signed on to a document stating that vaccines pose a significant risk of harm to the health of children. Click here to read it now...

Health Ranger Storable Organics

GMO-free, chemical-free foods and superfoods for long-term storage and preparedness. See selection at www.StorableOrganics.com



Recommended Resources On:

Natural News trends
Health Ranger news
Natural News GMOs
Mike Adams tracker
Natural News photos
Natural News Global
Natural News in focus
Natural News connect
Natural News shocking stories
Natural News radar
GMOs
Quackwatch
Vaccines
Health freedom
Dr. Paul Offit

This site is part of the Natural News Network © 2014 All Rights Reserved. Privacy | Terms All content posted on this site is commentary or opinion and is protected under Free Speech. Truth Publishing International, LTD. is not responsible for content written by contributing authors. The information on this site is provided for educational and entertainment purposes only. It is not intended as a substitute for professional advice of any kind. Truth Publishing assumes no responsibility for the use or misuse of this material. Your use of this website indicates your agreement to these terms and those published here. All trademarks, registered trademarks and servicemarks mentioned on this site are the property of their respective owners.

eTrust Pro Certified Android app on Google Play

Sign up for the FREE Natural News Email Newsletter

Receive breaking news on GMOs, vaccines, fluoride, radiation protection, natural cures, food safety alerts and interviews with the world's top experts on natural health and more.

Join over 7 million monthly readers of NaturalNews.com, the internet's No. 1 natural health news site. (Source: Alexa.com)

Your email address *

Please enter the code you see above*

No Thanks

Already have it and love it!

Natural News supports and helps fund these organizations:

* Required. Once you click submit, we will send you an email asking you to confirm your free registration. Your privacy is assured and your information is kept confidential. You may unsubscribe at anytime.