photo of a confused Barack Obama, he didn’t know about the 400% premium rate increases under Obamacare
Insurers predict a 100% to 400% premium rate increase under Obamacare according to cost estimates of 17 of the nation’s largest companies. New regulations, policies, taxes, fees and mandates are the reason for the unexpected “rate shock,” according to the House Energy and Commerce Committee, which released a report Monday based on internal documents provided by the insurance companies.
The 17 companies include Aetna, Blue Cross Blue Shield and Kaiser Foundation, Cigna, Coventry, HCSC, Health Net of California, Highmark, Humana, Independence Blue Cross, Kaiser Foundation, Regence, UnitedHealth, University of Pittsburgh Medical Center, and Wellpoint Inc.
Smaller companies might get hit worse. Some companies might see decreases but most will not.
“As the documents provided by the insurers indicate, the primary reason costs will increase is that the PPACA requires insurers to provide increased services and benefits while, at the same time, it limits their ability to charge consumers based on age or health status,” the report states.
“Overall, the findings showed that individual consumers in about 90% of all states would likely face significant premium increases.”“The average yearly cost for a new customer in the individual market grows from $1,896 to $3,708 — a $1,812 cost increase,” the report states.
“But, the bottom line is that the PPACA does not contain many provisions that will reduce costs and improve affordability, especially in the short term.”
“Overall, of course, rates will go up due to the insurer taxes.
In conclusion, the internal documents provided by the insurance industry confirm many of the concerns voiced over PPACA: despite promises that the law will lower costs, the PPACA will in fact cause the premiums of many Americans to spike substantially.
The broken promises are numerous, and the data reveals that many Americans, from recent college graduates to older adults, will not be able to afford the law’s higher costs.
One of the nation’s leading insurance companies that insures millions of Americans predicts premiums will nearly double for individuals getting a new plan, those keeping their insurance will see an average increase of 73 percent, and some individuals could see increases of as much as 413 percent. These figures forecast looming financial hardships when the law takes effect on January 1, 2014.
Better yet, the IRS will be in charge of all of this.