Tag Archives: exchange participation

Insurance is not the same as Healthcare

Network participation – Survey finds doctors rebelling against Obamacare, famous hospitals declining to join | WashingtonExaminer.com.

Be careful out there. Please, be careful out there.

If you’re looking for a plan and are involved in the medical system or require certain services, the first item you should be investigating is network participation. Check on providers and facilites you might reasonably or even unreasonably expect to access.


Watching Obamacare Unravel

Watching Obamacare Unravel | Hoover Institution.

This recent drop in popularity is not a function of some detailed analysis of the ACA’s key provisions. Rather, the public seems to feel that the sheer complexity of the program makes it highly unlikely that it will be able to take effect in any form by its ostensible January 1, 2014 start date. The most obvious difficulty in implementation stems from the unwillingness of many states to participate in its two gargantuan initiatives, even with heavy federal support: the private exchanges (now called “marketplaces”) for individuals, and the Medicaid extension to additional individuals.

What Richard Epstein says.

As I have repeated numerous times already during the short life of this blog; Prediction – Chaos.


Obamacare is on the horizon, but will enough people sign up?

Obamacare is on the horizon, but will enough people sign up? – Yahoo! News.

“Why in late April can’t they show us any of what they’ve got planned? The rollout plan should already be in existence,” an exasperated Democratic Senate aide said separately.

Well, an important part of a roll out is knowing how much plans are going to cost. In most states I suspect that’s a big unknown. Here are states that have rollout plans:

Among states taking the lead, Vermont has launched radio advertising to raise public awareness. Colorado begins its public outreach this month, while California, Maryland and the District of Columbia will hold off until later in the year.

Seeing Vermont and Colorado in the loop is no surprise as they swore their allegience to Obamacare very early in the process.

Of course, the worse case is all the sick people sign up and the healthy people pay a penalty (this is called adverse selection in insurance-speak). It seems a high certainty event that the sick people will be amont the first to sign up. The issue is “the rest of us” that access the individual insurance marketplace. The most likely adverse selection scenario IS more healthy young people refusing to sign and and electing to pay the penalty which will have the effect of increasingthe cost of Obamacare.

Oh, and if the above occurs, did the insurance companies price their plans correctly? Not that many readers will have sympathy for the carriers, exactly how DO they make good predictions of the proper rates when they can’t predict the risk pool?

This could lead is to financial troubles similar to what the federal high risk pools are currently experiencing. Read about these issues here and here.

Added 5/6@11:27am:

The Denver Post picks up the story: With health care reforms 5 months away, it’s unclear how many people will sign up