You know the shit is absolutely a fucking disaster when..

The sycophants in the current administration are forced to delay yet another key provision of Obamacare because of the political repercussions of its enactment. From the Forbes magazine article:

First, there was the delay of Obamacare’s Medicare cuts until after the election. Then there was the delay of the law’s employer mandate. Then there was the announcement, buried in the Federal Register, that the administration would delay enforcement of a number of key eligibility requirements for the law’s health insurance subsidies, relying on the “honor system” instead. Now comes word that another costly provision of the health law—its caps on out-of-pocket insurance costs—will be delayed for one more year.

Obamacare contains a blizzard of mandates and regulations that will make health insurance more costly. One of the most significant is its caps on out-of-pocket insurance costs, such as co-pays and deductibles. Section 2707(b) of the Public Health Service Act, as added by Obamacare, requires that “a group health plan and a health insurance issuer offering group or individual health insurance coverage may not establish lifetime limits on the dollar value of benefits for the any participant or beneficiary.” Annual limits on cost-sharing are specified by Section 1302(c) of the Affordable Care Act; in addition, starting in 2014, deductibles are limited to $2,000 per year for individual plans, and $4,000 per year for family plans.

There’s no such thing as a free lunch. If you ban lifetime limits, and mandate lower deductibles, and cap out-of-pocket costs, premiums have to go up to reflect these changes. And unlike a lot of the “rate shock” problems we’ve been discussing, these limits apply not only to individually-purchased health insurance, but also to employer-sponsored coverage. (Self-insured employers are exempted.)

These mandates have already had drastic effects on a number of colleges and universities, which offer inexpensive, defined-cap plans to their healthy, youthful students. Premiums at Lenoir-Rhyne University in Hickory, N.C., for example, rose from $245 per student in 2011-2012 to between $2,507 in 2012-2013. The University of Puget Sound paid $165 per student in 2011-2012; their rates rose to between $1,500 and $2,000 for 2012-2013. Other schools have been forced to drop coverage because they could no longer afford it.

According to the law, the limits on out-of-pocket costs for 2014 were $6,350 for individual policies and $12,700 for family ones. But in February, the Department of Labor published a little-noticed rule delaying the cap until 2015. The delay was described yesterday by Robert Pear in the New York Times.

Ignoring the fact that this law is all about mandates (not to be confused with two guys going out on a date), and onerous, painful, and costly regulations, I am not surprised that the democrats are panicking and trying to stave off the damage these idiotic rules are going to cost to anyone and everyone right before another midterm election.

They are forced to delay this cost cap because to compensate for it, premiums will have to be jacked. See, anyone that understands economics and doesn’t huff unicorn farts while reading Marx’s fantasies, knows there is no such free thing as a lunch. When you cap total out of pocket expenses ever, and cap it so low, there will be a huge gap between the money collected and paid out. While democrats are stupid or evil enough to believe you can indefinitely, or at least until it becomes someone else’s gigantic problem to deal with, spend more than you take in, reality based systems eventually result in failure when this practice is followed for too long.

You and I would never be allowed to keep spending more than we earn, borrowing, printing, or manipulating the numbers to hide the damage, perpetually, like our government has been doing for decades now, and has been doing on steroids for the last 5 years. We would be dragged into a court, our ability to cheat would be restricted, and if we are lucky we would avoid jail time for this behavior. Our government pretends this kind of criminal and irresponsible behavior is some sort of economic policy or stimulus.

So now, to avoid premiums that have already ballooned over the last few years from going up even more drastically, the donkeys have concocted another excuse why they need to delay another one of Obamacare’s fundamental pillars. And I repeat: this is not because they are concerned that we working shlobs will feel pain. This is done solely because they see the anger people will have once they realized how hard they have been fucked over by Obamacare, producing a massacre at the polls in but a short year.

What a nice bunch of altruists these collectivists are turning out to be, huh? Obmacare needs to be killed before it kills us.

Comments are closed.

  1. AlexInCT *

    I can confirm the university thing. Our rates are going up 13% next year.

    I have friends that work in the insurance industry. You can make some awesome cash designing, writing, and implementing applications to support that industry. These people work for one of the country’s biggest healthcare providers. And they have told me to get used to 10%+ jumps every year for the foreseeable future. You ain’t seen nothing yet. Obamacare is jacking up all costs, and the people I talk to told me that they knew this stuff before the bill was even signed. The only people that apparently were not in on the scam were the rest of us.

    Thumb up 2