Daily Archives: May 15, 2013

Young male invincibles get Obamacare screw job

Who will pay higher premiums under Obamacare? Young men.

The Obama administration says the Affordable Care Act will provide cheaper health insurance for millions of Americans.

But some people, particularly young men who aren’t insured through their employers, could see their premiums go up once coverage in the state-based insurance exchanges begins in January.

How will premiums most likely change?

Taken together, men ages 25 to 36 could see rate increases greater than 50%, according to Milliman’s O’Connor, but women of the same age will only see their premiums creep up 4%. Meanwhile, men age 60 to 64 could see their premiums drop by 12%.

The big question is…

At this point, everyone — including the insurers — is just guessing at what premiums should be. That makes next year a giant experiment. Will younger, healthier people purchase coverage, or will they skip it and simply pay the fine? Next year, the fine starts at $95 per adult — a rate likely to be cheaper than any individual plan available on the state exchanges. (emphasis added)

Imagine a giant experiment depending on young healthy men participating in the health insurance risk pool. That’s not a recipe for sleeping well at night for Obamacare supporters.