In today’s American Spectator, I discuss how the price of “free health care” is about to go up … again:
In July of 2009, as the Obamacare debate was heating up, Gallup published a survey indicating that 83% of Americans wanted health care reform to make their health insurance more affordable. Now, more than five years after the President’s “signature domestic achievement” was passed, health insurance premiums are higher than ever. And it’s obvious that Obamacare is a major driver of the increase. The Wall Street Journal reports that insurers are proposing rate increases ranging from 25 to 51 percent for 2016. Why? ‘All of them cite high medical costs incurred by people newly enrolled under the Affordable Care Act.’
Obamacare apologists suggest different causes, of course.
Jonathan Cohn writes, “One reason could be the normal and predictable competition among insurance plans jostling for market share.” Cohn’s grasp of economics is so tenuous that he doesn’t know insurers compete for market share by reducing premiums. He also connects the increases to anxiety about that bête noir of Obamacarians everywhere, King v. Burwell: “If the court rules in favor of the plaintiffs … millions will drop their coverage because they will no longer be able to afford it.” Cohn evidently thinks insurers will respond by making insurance even less affordable.
The real reason for the proposed increases is that insurers now have real data on real Obamacare enrollees rather than implausible projections from the Obama administration.
To read the rest of the column, click here.