Tag Archives: Mandate

Obama administration report: 65% of small firms face Obamacare premium hikes

From Investors Business Daily.

Excerpt:

Released into a news black hole last Friday, an official Obama administration report finds that ObamaCare will push premiums up for two-thirds of small businesses. Cross off another ObamaCare promise.

The report came from the actuary for the Centers for Medicare and Medicaid Services — which means it’s from the administration’s official ObamaCare number cruncher.

What it found was that 65% of small businesses that offer insurance will likely see their premiums rise thanks to ObamaCare. That translates into higher insurance costs for 11 million workers.

The reason? These companies generally employ younger, healthier workers and so had been paying lower-than-average rates.

But since ObamaCare bans insurance companies from considering health when setting premiums, these companies will get hit with higher costs.

“We are estimating that 65% of small firms are expected to experience increases in their premium rates,” the report said, “while the remaining 35% are anticipated to have rate reductions.”

The report doesn’t say how big these hikes will be, but we have good reason to believe the extra costs will be significant.

One study, for example, found that 63% of small employers in Wisconsin will see premiums jump 15% because of ObamaCare. A separate study found that 89% of small companies in Maine would see rate hikes of 12% on average.

Another, by consulting firm Oliver Wyman, concluded that ObamaCare would push up small group premiums nationwide 20%.

Is this how the bill was sold to us by the Obama administration and their supporters in the mainstream media?

No:

In 2009, Obama promised small businesses that his plan would “make the coverage that you’re currently providing more affordable.” Later he said it would drive small-business premiums down by 4% in its first year, and as much as 25% by 2016.

As recently as last summer, Pelosi was proclaiming that “if you’re a small business … it lowers costs,” while Waxman said the law would make “high-quality healthy insurance more affordable and more widely available for small businesses.”

Notice that nowhere — either before or after ObamaCare passed — did any Democrat say anything about two-thirds of small businesses paying more for health coverage so the lucky one-third could get rate cuts.

Next time you hear a big government liberal promising you goodies at no cost, keep in mind their record. They are making policy from emotions, not from mathematics. They believe that they are lying to you for your own good. Their goal is not to tell the truth at all. And don’t rely on the left-wing journalism crowd to hold them accountable, they flunked math too.

SCOTUS Justice grants stay for some from Obamacare pro-abortion mandate

This article from NBC News reports on a development in some of the cases being brought by Christian organizations against the Obama administration.

Excerpt:

Supreme Court Justice Sonia Sotomayor granted a last-ditch plea from Catholic groups Tuesday night to block a birth control mandate in the new health care law for religious organizations, just hours before it was to have gone into effect.

Sotomayor issued the stay at the request of an order of Catholic nuns in Colorado, part of a larger effort by Catholic-affiliated groups from around the nation to halt provisions of the Affordable Care Act that require companies — regardless of religious beliefs — to provide contraceptives and other abortion-inducing drugs to their employees.

The groups wanted the mandate halted while the court considers a legal challenge, brought by the for-profit company Hobby Lobby, arguing that the requirement violates their religious liberties.

In June, the 10th U.S. Circuit Court of Appeals in Denver waived millions of dollars of fines against Hobby Lobby and a subsidiary, Mardel Christian Stores, which refused to comply with the mandate, writing that the companies were likely to win their claim that requiring for-profit companies to pay for birth control was a violation of religious protections.

The motion for a stay went to Sotomayor as the justice with oversight for the 10th Circuit. She gave the government until Friday to respond.

“Tomorrow, a regulatory mandate will expose numerous Catholic organizations to draconian fines unless they abandon their religious convictions and take actions that facilitate access to abortion-inducing products, contraceptives, sterilization, and related education and counseling for their employees,” the groups said in their request for a stay Tuesday.

The mandate requires companies run by Christians to provide their employees coverage for drugs that can cause abortions  by preventing the implantation of a fertilized egg.

The big case that everyone is watching is the Hobby Lobby case, and they were granted a stay from a federal court back in July of 2013. Their case is headed to the U.S. Supreme Court, where the government will argue that Christians should be forced to subsidize abortion, in violation of their consciences.

Does the last-minute Obamacare exemption fix anything?

One of my favorite writers on health care policy is Michael F. Cannon of the libertarian Cato Institute. He has an article in Forbes magazine that I think is a good level-set for the Obamacare changes that are happening in 2014 and beyond.

He writes:

[…]President Obama announced, just days before the deadline for purchasing coverage with a January 1 effective date, that he would offer a categorical “hardship exemption” from the individual mandate to anyone who had their insurance cancelled due to ObamaCare.

[…]If these folks choose not to buy health insurance, they will not face a penalty. They will also have the option to buy, “if it is available in your area,” the lower-cost catastrophic coverage that ObamaCare otherwise offers only to people under age 30, or who receive the separate “unaffordability” exemption from the mandate.

The obvious purpose of this policy is to give political cover to Senate Democrats who must face the voters next year, and are no doubt afraid of attack ads like this one.

[…]Yet this exemption may not be of much value to those who qualify, and is likely to create more problems for ObamaCare supporters than it solves.

The people who qualify for this exemption don’t actually want it. They want health insurance. They had affordable coverage, until ObamaCare took it away from them, and that’s what they still want now. Sebelius boasts that ObamaCare’s catastrophic plans cost 20 percent less than other ObamaCare plans, but don’t confuse that with affordable coverage. The Manhattan Institute’s Avik Roy — who is now the opinion editor for the sprawling Forbes empire – notes that ObamaCare’s catastrophic plans can still cost twice as much as what was previously available on the individual market.

But even if they like their catastrophic plan, they can’t keep it. Sebelius has complete control over the duration of the exemptions, which she has described as a “temporary” step “to smooth [consumers’] transition” to enrollment in Exchange plans. So in a matter of months, Obama will violate his “if you like your health plan” pledge again by kicking these folks out of their catastrophic plans. They will get another cancellation letter tossing them into the Exchanges. Their premiums will surge again. They may lose their doctor again.

The exemption means insurers will suffer losses this year, and rates will be higher next year, for all ObamaCare plans.

The president argued before the Supreme Court that ObamaCare’s regulatory scheme cannot work with out the individual mandate. Yet he has now exempted millions of the very people he most needs to comply with it. This exemption siphons good risks out of the Exchanges and destabilizes the risk pools for both the standard ObamaCare plans and the catastrophic plans. Participating carriers set the rates for their Exchange plans with the expectation that these folks would be purchasing bronze, silver, gold, and platinum plans through the Exchanges. But the healthiest members of this now-exempt group are the most likely to go uninsured or purchase a catastrophic plan. So Obama’s blanket exemption makes those risk pools older and sicker.

This blanket exemption also destabilizes the risk pools for the catastrophic plans. It opens those pools to lots of people over age 30, who have higher health expenses than people under age 30, and whom the insurers were not expecting to buy catastrophic plans when they set those rates.

So the effect of this is going to be to raise rates temporarily, because the insurers companies are not getting the younger, healthy people they need to make the rates as low as they originally calculated. They are going to lose a ton of money because the Democrats are changing the rules at the last minute. They people who have coverage are going to be the ones who make all the claims, and the people who normally don’t make claims are now exempt, temporarily – until the 2014 elections. This is going to be a huge hit to the health insurance companies.

As I noted before, the Democrats are going to have to bail out the insurance companies in order to account for the losses. It’s actually in the Obamacare law already, as David Freddoso explained. But will the Democrats use money from their political party to pay for their mistakes? Hell no – they will borrow it from your children, which is what they are so good at doing. There is a cost for electing incompetent people, and it’s going to continue to rise until the fools are voted out.

Supreme Court will rule on Obama administration persecution of Hobby Lobby

Life News reports.

Excerpt:

Hobby Lobby’s battle against the HHS mandate is headed to the Supreme Court, as the high court today agreed to hear its lawsuit against the controversial provision in Obamacare. The Obama administration is attempting to make it comply with the HHS mandate that compels religious companies to pay for birth control and abortion-causing drugs for their employees.

However, the U.S. Supreme Court today agreed to take up Sebelius v. Hobby Lobby Stores, Inc., a landmark case addressing the Constitutionally guaranteed rights of business owners to operate their family companies without violating their deeply held religious convictions. This is good news to the Green family, who own the store.

“This is a major step for the Greens and their family businesses in an important fight for Americans’ religious liberty,” said Kyle Duncan, general counsel of the Becket Fund for Religious Liberty and lead lawyer for Hobby Lobby. “We are hopeful that the Supreme Court will clarify once and for all that religious freedom in our country should be protected for family business owners like the Greens.”

The Obama administration says it is confident it will prevail, saying, “We believe this requirement is lawful…and are confident the Supreme Court will agree.”

“My family and I are encouraged that the U.S. Supreme Court has agreed to decide our case,” said Mr. Green, Hobby Lobby’s founder and CEO.  “This legal challenge has always remained about one thing and one thing only: the right of our family businesses to live out our sincere and deeply held religious convictions as guaranteed by the law and the Constitution. Business owners should not have to choose between violating their faith and violating the law.”

The Supreme Court is also taking the case of the Mennonite cabinet makers forced to pay for birth control and abortion-causing drugs.

I think many people throw around the word “fascism” without really understanding what the word means. But this HHS mandate is a textbook case of fascism.

Here is the Merriam-Webster definition:

: a way of organizing a society in which a government ruled by a dictator controls the lives of the people and in which people are not allowed to disagree with the government

: very harsh control or authority

Now, right away, it should be obvious that there is no such thing as right-wing fascism. If right-wing stands for anything, it stands for free-market capitalism, free trade, private property and individual rights (e.g. – free speech, right to life, etc.). Right-wing politics means the freedom to spend what you earn on what you choose to spend it on. Because it’s your money – you earned it. Fascism requires the government to control your basic liberties, including what you earn, and how you spend what you earn. That’s why fascism is solely a phenomenon of the political left. Only the political left wants to tell you how much of your earnings you can keep, and how much of your earnings must be spent on things you don’t need. They have all kinds of reasons why they are justified in taking your money, but all their reasons amount to the same things: their values are higher than your values. Even if you worked for the money, they know better than you do what to spend it on. And if it violates your conscience to spend it on abortion drugs, then you can either pay or go to jail. Fascism.

Related posts

Duke U. researcher: 129 million people will lose health insurance under Obamacare

From the Daily Caller.

Excerpt:

If Obamacare is fully implemented, 68 percent of Americans with private health insurance will not be able to keep their plan, according to health care economist Christopher Conover.

Conover is a research scholar in the Center for Health Policy & Inequalities Research at Duke University and an adjunct scholar at the American Enterprise Institute. In an interview with The Daily Caller, he laid out what he estimates the consequences of Obamacare’s implementation will ultimately be.

“Bottom line: of the 189 million Americans with private health insurance coverage, I estimate that if Obamacare is fully implemented, at least 129 million (68 percent) will not be able to keep their previous health care plan either because they already have lost or will lose that coverage by the end of 2014,” he said in an email. ”But of these, ‘only’ the 18 to 50 million will literally lose coverage, i.e., have their plans entirely taken away. This includes 9.2-15.4 million in the non-group market and 9-35 million in the employer-based market. The rest will retain their old plans but have to pay higher rates for Obamacare-mandated bells and whistles.”

Conover also says it is hard to imagine President Obama didn’t know these statistics when he was flacking for his health care bill by promising Americans they could keep their health insurance if they liked it.

“If President Obama himself believed this the first time he said it, he was poorly advised,” Conover said.

“The problem is that he said it at least 24 times, most of which occurred after his own rule-writers had estimated that 49-80 percent of small employer plans would have lost their grandfather status by 2013, along with 34-64 percent of large employer plans. The same rule estimated that each year 40 to 67 percent of non-group plans not already grandfathered would lose their grandfather status. Given how extensively presidential statements — especially to a joint session of Congress — are vetted and fact-checked, it is pretty inconceivable that President Obama was not aware that he was engaged in some degree of truth-twisting.”

Surprise! It looks like what the Democrats wanted was to destroy private health insurance, after all. The nice thing about this is that finally the low-information voters who elected Obama are getting to see why it might be a good idea to get their political news from somewhere other than the Comedy Channel.