By: Nicole Kaeding
As a candidate running for president, President Obama declared “in an Obama Administration, we’ll lower premiums by $2,500 for a typical family per year.”
Just days before the ObamaCare exchanges open for enrollment, the Department of Health and Human Services (HHS) finally released just how much insurance will cost hard-working Americans across the country. It turns out that health care premiums will increase quite dramatically, making this the latest in a long line of ObamaCare’s broken promises.
Rates for younger men will increase by an average of 97 percent next year. Rates for women won’t increase as dramatically, but will still increase by a shocking 55 to 62 percent. Enrollment by young individuals is critical for the success of ObamaCare, yet their premiums will increase as much as 279 percent next year.
But these numbers aren’t found anywhere in the HHS release. In fact, HHS and Secretary Sebelius are praising ObamaCare saying these premiums are actually less. How could that be? Following in the footsteps of the crazy baseline budgeting process here in DC, HHS is actually using baseline health insurance premium analysis. Premiums are less than the Congressional Budget Office originally predicted, so ObamaCare “saved” Americans money. Tell that to the individuals who will be paying more for insurance next year.
Worse yet, supporters of ObamaCare argue that the premium increases don’t matter because individuals aren’t really paying these premiums. They’ll receive tax credits that offset the costs. That’s true…for some. Individuals between 100 and 400% of the federal poverty level will received tax credits to assist with the purchasing of insurance. But 400% of the federal poverty level is only $46,000 a year in income for an individual.
That isn’t much comfort for a 27 year old that has to shoulder these increased premiums and doesn’t qualify for a tax credit. In Indiana, premiums will increase 53 percent for a 27 year old male and thousands of them won’t qualify for the subsidies. Only 44 percent of those between 21-30 years of age in Indiana even qualify for subsidies. In Arkansas, it’s even worse. Premiums are up 247 percent and 53 percent won’t qualify for a subsidy.
We’ve seen a number of broken promises come from the Obama Administration when it comes to the health care law. First, President Obama promised that we could keep our doctors, and the New York Times showed on Monday how that won’t happen. Next, President Obama promised that ObamaCare would be openly debated on C-SPAN and that never happened. Then, he promised that if you liked your insurance, you could keep it. We now know that isn’t true either.
Sounds like this premium increase is just another broken promise to add to the ObamaCare pile.