Health consulting firm Avalere analyzes the 2018 ACA insurance exchange market and finds premiums on “silver” plans will rise by an average of 34%:
Avalere experts attribute premium increases to a number of factors, including elimination of cost-sharing reduction (CSR) payments, lower than anticipated enrollment in the marketplace, limited insurer participation, insufficient action by the government to reimburse plans that cover higher cost enrollees (e.g., via risk corridors), and general volatility around the policies governing the exchanges. The vast majority of exchange enrollees are subsidized and can avoid premium increases, if they select the lowest or second lowest cost silver plan in their region. However, some unsubsidized consumers who pay the full premium cost may choose not to enroll for 2018 due to premium increases [Caroline F. Pearson and Chris Sloan, “Silver Exchange Premiums Rise 34% on Average in 2018,” Avalere, 2017.10.25].
Avalere estimates premiums in South Dakota will rise 19% for silver ACA plans, 14% for cheaper bronze plans, and 6% for spendier gold plans.
The Congressional Budget Office estimates that by ending the CSR payments, Trump has raised premiums 20% above what they would have risen if he and Congress had maintained the CSRs. Trump will further drive up costs by slashing the ACA marketplace open enrollment period from 91 days to 45 and strangling the Navigators program that helps consumers figure out the marketplaces, guaranteeing that marketplace insurers will get fewer customers. Trump’s action will raise out-of-pocket costs for some individuals and increase the deficit for all of us.
Higher costs, less service, worse deficits—this is Trumpcare… because Trump doesn’t care.
…. and you can bet that most of that 34% will be passed right on to the suits, stockholders and the lawyers.
The raise in premiums must go to pay the claims by law. By law, 80% of premiums paid must go directly to pay the claims presented. As long as there are not going to be CSR’s to pay the insurance companies there guarantee issue of policies to those of us who are sick and dying, then this is what to expect. Next year, expect trumpcare to double at a minimum.
Raise my tax to allow Medicaid for all. No place on this earth is more determined to killing us than our own inept government through grift. Health insurance should be used as a perk to add to an existing public health system that guarantees quality of life for the citizens of this country. See how Europe does it and follow suit. We are not special here, just foolish.
Non ACA grandfathered and grandmothered plans went through the roof as well. My wife’s plan $100.00 a month to $6,000.00 for the year. Friends of ours, both mid 30’s with 3 children are now paying just over $2,000.00 per month for health insurance, a raise of $300.00 per month. We do not qualify for subsidies so the brunt of the costs go directly out of our pockets for insurance. Both of these plans are high deductible plans with no preventive coverage and 3 office visits per year. If my wife gets sick, we have to look at $11,000.00 out of pocket (including the premium) to justify the cost. That is the gamble we make and I am sure others have more exposure. Without the risk corridor, that was promised by congress and then rescinded by the republicans after the ACA was put into place, the entire system will collapse on itself.
I am sure that in the under 65 crowd that read this blog, there are others that fit in the same category. If our plans went us so drastically due to the uncertainty of the market itself, then we are sure that the next year will be double with the certainty there will be no improvements.
If they raise the premiums enough, the poor will not be able to afford health care when they get old and the rich will. That way they can get as much work out of people till they get old and then let them chose to die by dropping their insurance. If one has to drop it because they can not work when they are old, then the republicans do not need to have a conscience when they drop health insurance because it was ‘their own choice’.
Think of what I wrote for a minute. A young mid 30 aged couple with 3 kids paying $24,000.00 per year for health insurance with a plan that was pre ACA. Has nothing to do with ACA/Obamacare and is double what a mortgage would be for a nice house. Each year with increases each year, then tell me that it is Obama’s and the Democrats fault for the healthcare failure.
What is proof for the fact that we still need healthcare reform is above. Now, the great news is that people cannot be dropped and that there health issues are being treated which is a step in the right direction. Americans need to demand more, demand it and vote for your demands.
Can hardly wait for all the “It’s Obama’s fault” comments to start rolling in. Sort of like you buying that nice new Camaro and blaming Chevrolet for it not performing after I come over one night and steal the engine. Pretty hard to not blame Chevy, eh? (Of course, you have to use GOP logic and “alternative facts”!)