One of Nevada’s five insurance carriers authorized to offer health insurance policies under ObamaCare is going out of business, forcing thousands to find new insurance policies when open enrollment begins again this November.
The reason for the closure of The Nevada Health Co-Op is, like so many other problems we’ve seen with ObamaCare, due to rising costs and inadequate revenues.
That the costs of administering a complicated government bureaucracy would end up higher than anticipated is hardly a surprise. However, the financial disaster facing The Nevada Health Co-Op stemmed from not just spiraling claims costs, but an insufficient number of people – specifically, healthy young people – buying the coverage.
ObamaCare’s insurance mandate was supposed to ensure that enough healthy people enrolled for insurance so be adequate funds to cover the claims of those with more expensive medical problems.
Instead, in state after state, enrollment for ObamaCare policies has lagged below expectations. The only real exception to this is the states that allowed Medicaid coverage to expand to able-bodied, working age adults. This Medicaid expansion, which by its nature, is a subsidized government program and would not involve enrollees paying to help cover the cost of insurance coverage, has seen its enrollment figures explode beyond all estimates, burning through millions of dollars of federal funds and endangering state budgets.Read More
Many states across the country are facing budget troubles right now. With a stagnant economy, rising costs for infrastructure maintenance and ballooning entitlement costs, state capitals from sea to shining sea are dealing with challenging budgetary pictures. Some states are making their strained situations even worse by entering the budgetary vortex of Medicaid expansion.
From California to Rhode Island, states are confronting new concerns that their Medicaid costs will rise as a result of the federal health care law.
In California, Democratic Gov. Jerry Brown’s recent budget projected an additional $1.2 billion spending on Medi-Cal, the state’s version of Medicaid, due in part to surging numbers. State officials say about 300,000 more already-eligible Californians are expected to enroll than was estimated last fall.
“Our policy goal is to get people covered, so in that sense it’s a success,” said state legislator Richard Pan, a Democrat who heads the California State Assembly’s health committee.
However, as Mr. Pan is learning, California is no Neverland, devoid of responsibilities and free from consequences. California, and the 25 other states that are expanding Medicaid under ObamaCare, will have to come up with the money to cover the massive new costs that come from the President’s controversial health care law.Read More
The American tradition of voluntary charity has always been the envy of the world, but now, ObamaCare has managed to put obstacles in the way of those who help the poor voluntarily – and directly. Government as a middle man is no longer the only hurdle we face when attempting to help the poor, we now have to deal with ObamaCare as another major impediment to doing good.
In order to motivate lower- and middle-income Americans to sign up for ObamaCare, hospitals across the country have decided to cut down on financial assistance. This trend is now cause for concern among the uninsured who are unable to afford coverage.
The New York Times reports:
The trend is troubling to advocates for the uninsured, who say raising fees will inevitably cause some to skip care rather than buy insurance that they consider unaffordable. Though the number of hospitals tightening access to free or discounted care appears limited so far, many say they are considering doing so, and experts predict that stricter policies will become increasingly common.
Under ACA, hospitals are no longer able to collect as much in federal aid to treat the uninsured and the poor, which is one of the factors that pushed many hospital systems to tighten access to discounted or even free assistance.Read More
From the beginning of this ObamaCare adventure we’ve heard the tales of wasteful spending and misappropriated funds, but I fear we’ve only just begun.
If you didn’t choke up on the stories of lavish spending on ObamaCare advertising (source: http://townhall.com/tipsheet/katiepavlich/2014/03/24/how-much-youve-paid-to-promote-obamacare-n1813699) targeting young adults, this new report is bound to get the job done.
Serco, a British company serving as a U.S. government contractor, is leasing its call center in St. Louis, Missouri to the Department of Health and Human Services. The company has been entrusted with the task of hiring 600 employees to handle applications for health insurance plans under the new law, but the problem is: these workers are hired with the sole goal of processing two health care plan applications per month (source: http://dailycaller.com/2014/05/13/obamacare-contractor-in-st-louis-pays-employees-to-do-nothing/).
That’s right, Serco has a $1.2 billion – not million – contract with the Obama administration to provide call center infrastructure and administer the 600 employees who were hired to process two ObamaCare applications a month. Some former employees claim they’re being paid to play Pictionary and at times, they’re so bored, they’re comparing each other’s scars and falling asleep at their desk.Read More
Yesterday, on an “official White House Twitter account,” Jesse Lee began tweeting out and touting the latest ObamaCare enrollment numbers. To take a look at his timeline, you’d think ObamaCare was a success, but look again.
Some absolutely massive numbers in state-by-state enrollment reports… http://t.co/Q8ggMIHgSl
— Jesse Lee (@jesseclee44) May 1, 2014
A quick back of the napkin calculation shows that in many states the number of cancelations is almost just as high, or higher than the new enrollment. And in many states where Lee was claiming success, the state has not published cancelation numbers, so we’re still unsure as to how many new enrollees are actually new.
As of now, overall cancelations are at a minimum, 4.7 million. Numbers will trickle in from states in the next few months that will surely make this total skyrocket.
Here are some highlighted numbers, for the complete breakdown, head here.Read More
In North Carolina it has been reported that only one person was able to successfully enroll in ObamaCare. Meanwhile at least 160,000 individuals who buy private insurance in North Carolina will lose their coverage by the end of the year.Read More