Daily Archives: September 6, 2013

Creative Destruction | The Weekly Standard

Substandard catastrophic plans will be cancelled: Creative Destruction | The Weekly Standard.

But don’t worry, everyone will be covered, right? As the College Art Association notes in a “Brief message” to its members on its website, “Here’s the good news: PPACA includes comprehensive reform that is designed to provide affordable health coverage for all individuals. The average premium for individuals who purchase coverage directly today (i.e., they do not receive coverage through their employer) is expected to decline significantly.”

But the membership of these organizations should worry. Unless they are older or suffer from some preexisting condition that made coverage hard to obtain, freelance artists, designers, and musicians forced to enter the state-run exchanges are far more likely to see their rates go up—or to face the individual mandate penalties. This will be especially true, as alert observers of Obamacare implementation have noted, for those under the age of 30.

The youner applicants, better known as the “young invincibles”, can certainly look forward to increased rates, although coverage will be better. Most likely they will find the tradeoff unsatisfactory but I’m just speculating. Soon they will get to vote with their wallets.


Early look at Obamacare premiums

Early look at PPACA premiums | LifeHealthPro.

The No. 1 question about President Barack Obama’s health care law is whether consumers will be able to afford the coverage. Now the answer is coming in.

The biggest study yet of premiums posted by states finds that the sticker price for a 21-year-old buying a mid-range policy will average about $270 a month. That’s before government tax credits that act like a discount for most people, bringing down the cost based on their income.

List-price premiums for a 40-year-old buying a mid-range plan will average close to $330, the study by Avalere Health found. For a 60-year-old, they were nearly double that at $615 a month.

Hmmm, doesn’t look good for the young invincibles. That said, most YI’s aren’t interested in a “mid range” plan. They will get the lowest cost bronze plan available.

The new rates reported seem closer to what my clients are seeing. Those with Humana and Rocky Mountain are getting a peek at the new Obamacare premiums and an 80% increase is par for the course and higher is certainly possible. I expect other carriers will be no different. We will know soon enough.

Yes, this is before subsidy, if you qualify.


Avoiding Obamacare exchanges

Avoiding Obamacare exchanges – Sep. 5, 2013.

Many insurers will offer individual policies outside the Obamacare exchanges in 2014. Consumers can avoid the exchanges by buying plans directly from insurers or through brokers.

I strongly disagree with the author’s concluing quote from some bozo out of Georgetown University…

“Compared to the exchanges, the off-the-exchange market for consumers will continue to be the Wild West in regards to shopping and comparing benefits and prices,” said Kevin Lucia, senior research fellow at Georgetown’s Center on Health Insurance Reforms

There were exchanges before the government “invented” the term and they are all working on providing quotes in a similar fashion to what the state and federal exchanges will be doing. In most cases the same “metal plans” will be offered off the exchange, including from providers that chose not to offer on the exhange. Since these plans all cover the 10 essential health benefits, they will be easier than ever to compare basic features.

Also, apparently the author didn’t get the memo that the politically correct term for an “exchange” is a “Marketplace”.



Obamacare Health Insurance Exchange Website Still Plagued By Technical Glitches

Obamacare Health Insurance Exchange Website Still Plagued By Technical Glitches.

An official from Florida Blue, a large insurer, was concerned that a health policy it plans to sell on the state’s exchange would mislead customers: The preview website showed no charge at all for some medical services, rather than no charge after a deductible is met.

An Aetna staffer was frustrated that policies the company once intended to sell in Ohio, but withdrew, were still showing up in the preview site. Delta Dental of Wyoming reported that its plan was showing zero deductible in policies that cover parents plus children.

“That will be misleading if it pops up as a zero deductible and will put us on the hook if they go to the dentist” and expect not to pay a deductible, a Delta Dental staffer said on the call, according to a participant. “We’re concerned about that.”

Amateur hour. Prediction: Chaos