Thursday, April 3, 2014

ObamaCare still not that Affordable. The Pooled buying power of every American would lower costs, make every hospital and doctor a part of your plan.

The Affordable Care Act will lose a whole lot of people in the next year. Is that bad news and proof the Republicans were right to say the sky is falling? No.

A recent study below lays out what normally happens in what is called the “individual market.” I've been in it myself for the last 20 years, so none of the supposed surprises that made headlines and caused GOP heads to explode was really news to me.

What the nation finally learned from the details revealed in the roll out of ObamaCare was how screwed up the system really was, from premiums, to co-pays, to deductibles. Many had no clue since they had employer provided care, Medicaid or no coverage at all.

The ACA did move mountains though, forcing insurers and providers to change their business model. I supported the change.

But I’m not happy with the ACA because as it turns out, I’m realizing I might not be able to keep up the monthly payments. The problem is, we’re not using our clout to buy health insurance in bulk.

Americans are still doing this individually, instead of as a nation, which would have wisely spread the costs out and lower prices. It’s called “SINGLE PAYER.” 
New research reveals another aspect of the individual market; churn:
Researchers at the University of California, Berkeley Labor Center estimate that about 20 percent of Covered California enrollees are expected to leave the program because they found a job that offers health insurance. Another 20 percent will see their incomes fall and become eligible for Medi-Cal, the state's insurance program for people who have low incomes.

In addition to the 40 percent of enrollees who move to Medi-Cal or job-based insurance, between 2 and 8 percent of those who sign up for Covered California are expected to become uninsured.

This turnover — or "churn" to those who study health insurance — is well-known in the Medi-Cal and individual insurance market. Between 53 and 58 percent of Covered California enrollees are expected to stay in a Covered California plan for 12 months, the report says.

Ken Jacobs, chair of the Labor Center and an author of the new study, said an estimated 10 percent of enrollees could be expected to leave Covered California, although some may leave the exchange "because the cost was too high."

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