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Tuesday, May 14, 2013

Insurers predict 100% to 400% Obamacare rate explosion | WashingtonExaminer.com

Internal cost estimates from 17 of the nation's largest insurance companies indicate that health insurance premiums will grow an average of 100 percent under Obamacare, and that some will soar more than 400 percent, crushing the administration's goal of affordability.

via washingtonexaminer.com

http://rightcoast.typepad.com/rightcoast/2013/05/insurers-predict-100-to-400-obamacare-rate-explosion-washingtonexaminercom.html

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Comments

Very strange given that healthcare costs have leveled off. See for example, Forbes article, "New Data Suggests Obamacare Is Actually Bending The Healthcare Cost Curve" (2/12/13) http://www.forbes.com/sites/rickungar/2013/02/12/new-data-suggests-obamacare-is-actually-bending-the-healthcare-cost-curve/

Do you suppose this just might be an attempt to blunt the effect of that finding by the CBO?

Tell you what. Would you like to make a small wager on this? I will bet that once Obamacare is fulling up and running (it isn't yet, so some rate increases are attempts to get as much as they can while they can, and won't be sustainable once the exchanges are operating) personal and corporate premiums will not go up in the next 12 months more than, say, 75% of the average over the past five years. You win if the number is over 100%. How much would you be willing to put up on that over/under bet, with tie in the middle?

I actually think it will be a lot lower then 75%, but why take chances.

PS. Aren't you ashamed to link to the Washington Examiner?

Posted by: Keynesian | May 14, 2013 7:00:08 PM

That's a nice trick. The threat of price controls and more regulation drives up costs. Insurers pass these costs along to their customers in the form of higher rates. Then demagogues and their ignorant followers insist on price controls and more regulation to keep rates from rising further.

Posted by: Jonathan | May 15, 2013 9:36:29 AM