Another ObamaCare Shock
A 27-year-old will pay 116% more in Arizona. Thanks, Mr. President. President Obama took a health-care victory lap last week in Miami, celebrating “all the progress that we’ve made in controlling costs” and portraying the law’s critics as “false and politically motivated.” Does that apply to the actuaries at the Health and Human Services Department too? On Monday they reported that ObamaCare premiums will soar 25% on average next year, and this is “progress” all right, in the wrong direction.
That headline number understates the extent of the trouble. Liberals used to dismiss insurance premium shock by saying that the subsidies will offset any increase and, anyhow, beneficiaries can shop around for a cheaper plan. But the 25% figure refers to the rate spike for the second-cheapest “silver” plan on each exchange from state to state, which is a key benchmark in the subsidy formula. In other words, these are the mid-level insurance plans that are performing the best, not the average increase of all ObamaCare coverage.
HHS also disclosed the premium jumps for a 27-year-old buying the second-cheapest silver plan in individual states. Our condolences for such young people in Arizona, where their premiums will climb by 116%. Likewise for Oklahoma (69%), Tennessee (63%) and Minnesota (59%).
In a normal election year, the presidential candidates might debate solutions, but, well, you know. For the time being, perhaps Mr. Obama could show a little more intellectual humility when confronted with evidence of his own failures. But, well, you know.