Are you ready to pay 37 percent more for health insurance in 2018? Obamacare is imploding faster than most of us imagined, and these rate increases are absolutely killing hard working middle class families all across the country. I wrote about the steady erosion of the middle class yesterday, and health insurance is one of the main reasons why the cost of living is increasing at a much faster rate than our paychecks are. It greatly frustrates me that we have given the Republicans control of the White House, the Senate and the House of Representatives and Obamacare still has not been repealed. The truth is that should have happened on day one of the Trump presidency.
Monday’s news was dominated by headlines about the indictments of Paul Manafort and Robert Gates, but a new round of Obamacare rate increases is going to have much more of a direct impact on the lives of ordinary Americans. According to CNN, premiums for silver Obamacare plans will increase by an average of 37 percent next year…
Premiums for the benchmark silver Obamacare plan will soar 37%, on average, for 2018, according to federal data released Monday.
And remember, this 37 percent increase is on top of all of the other yearly increases that we have seen so far. Many families have already seen their health insurance premiums more than double since Obamacare became law, and now things are going to get even worse.
The silver plans are the most popular, and this is especially true among younger people. According to that same CNN story, a 27-year-old will now be paying almost five thousand dollars a year for one of these silver plans…
The steep rate hike means a 27-year-old will pay nearly $5,000 a year, on average, for the benchmark silver plan, upon which premium subsides are based. That’s up from $2,600 when the Obamacare exchanges opened in 2014. This is before subsidies are factored in, however.
Premiums are skyrocketing for a second year in a row. Rates rose 24% this year in the states using healthcare.gov.
Do you know any 27-year-old that can afford to pay $5000 a year for health insurance?
And because deductibles are so high, most of them are quite afraid to go to the hospital anyway.
As Obamacare plan premiums go up, so do the subsidies. At this point more than 80 percent of all those enrolled in Obamacare plans receive subsidies, and that means that much of the burden for paying these rate increases ultimately falls on the taxpayers.
And by taxpayers, I mean you and me.
Here in Idaho, the rate increases are going to be even higher than the national average. In fact, it is being reported that silver plan rates will be going up by an average of about 50 percent in 2018…
Idaho Statesman reporter Audrey Dutton reports that the largest increases are proposed in the “silver” plans, which are the most popular ones on the exchange, falling mid-range in pricing and benefits between the lower-level “bronze” plans and the high-end “gold” plans. Silver plans are showing average increases of 50 percent in premiums; they range from a low of 40 percent at Blue Cross to 69 percent at SelectHealth.
Needless to say, Idaho families cannot afford these sorts of rate increases, and I am for a 100 percent repeal of Obamacare immediately. In my new book entitled “Living A Life That Really Matters”, I touch on some of the things that we need to do to start fixing our deeply broken healthcare system. We once had the greatest system of healthcare on the entire planet, and I believe that we can get there again, but we desperately need to return to free market principles. I am very much in favor of the kinds of association buying groups that Rand Paul has proposed, and I would like to see exciting new concepts such as direct primary care implemented much more extensively.
Doing nothing is not an option. The longer that Obamacare is allowed to exist, the more financial damage it will do to middle class families.
Today, we learned that the U.S. savings rate has fallen to a 10 year low. Most families cannot save much money because they are just scraping by from month to month. The middle class is now a minority of the population, and as health insurance rates continue to rise the financial stress on American families is only going to intensify.
We also just learned that real disposable income per capita has been declining since May. The following comes from Wolf Richter…
But consumers don’t feel that. What they feel is their slice of the pie, but that pie got cut into more slices as the US population expanded. And this leaves disposable income “per capita,” which the BEA also discloses, but mercifully buried in the data.
This real disposable income per capita — a function of income, taxes, inflation, and population growth — peaked in May and has been declining ever since.
A 37 percent rate increase is going to be absolutely devastating to those that are on silver plans. We were promised that Obamacare would make healthcare cheaper and more affordable, but instead the exact opposite has been true.
By the time the 2018 mid-term elections roll around, there are going to be tens of millions of Americans that are deeply angry about health insurance rates, and many believe that they will take that anger out on Democrats and on establishment Republicans that blocked the repeal of Obamacare.
But the Democrats are hoping for a different result. They are hoping to retake either the House or the Senate in 2018, and if Republicans have not repealed Obamacare by then the Democrats will completely block any further attempts to do so.
The clock is ticking, and the Republicans need to get something done. Up to this point they have completely fumbled the football, but there is still time to recover if they can get their act together.
Michael Snyder is a Republican candidate for Congress in Idaho’s First Congressional District, and you can learn how you can get involved in the campaign on his official website. His new book entitled “Living A Life That Really Matters” is available in paperback and for the Kindle on Amazon.com.
On Thursday, the U.S. House of Representatives finally approved a bill that would repeal and replace significant portions of the law that created Obamacare. But it was a very close vote. On Donald Trump’s 105th day in the White House, 217 members of the House voted in favor of the bill, and 213 members of the House voted against the bill. Of course “Trumpcare” is far from perfect, and it actually does very little to fix our rapidly failing healthcare system, but the reason why this is the best thing that Trump has done so far is because this bill would greatly reduce federal funding for Planned Parenthood. But first this bill must get through the Senate before it can become law, and that is looking extremely doubtful at this point. In fact, The Hill is reporting that one Republican Senator has said that this bill has less than a 20 percent chance of succeeding in the Senate…
A senior GOP senator said the chances of getting 51 votes for legislation based on the House healthcare bill are less than 1 in 5.
The senator also put the chances that the House bill will meet Senate budgetary rules preventing a filibuster at less than 1 in 5, meaning portions of the legislation would have to be removed.
Lawmakers are keeping quiet about their concerns because they want to help Speaker Paul Ryan (R-Wis.), whose job they fear may be in jeopardy if the House fails again to approve an ObamaCare repeal bill.
Yes, I know that Trump and the Republicans in the House were greatly celebrating on Thursday, but there really isn’t anything to celebrate yet.
The Senate is probably going to come up with an entirely different version of this legislation, and it is likely to look far different from the bill that just passed the House.
If a bill of some sort can actually get through the Senate, and that is a huge “if”, then an attempt would be made to reconcile the differences between the two bills, and then the final version would be submitted to both the House and the Senate for an up or down vote.
The problem is that the Senate is not going to pass anything like the version that the House just came up with, and conservatives in the House are likely to balk at anything that the Senate comes up with.
So please don’t think that an Obamacare repeal is a done deal.
The truth is that it probably is not going to happen any time soon.
But for the moment, I am going to applaud President Trump and House Republicans for doing something right. I have been very tough on them in recent weeks, and rightly so, but when they do something good I am certainly going to give them the praise that they are due.
The bill that the House just passed would greatly reduce federal funding for Planned Parenthood, and that fact alone more than makes up for all of the other flaws in it. The following comes from CNS News…
The American Health Care Act—the Obamacare repeal-and-replace bill that the House of Representatives passed by a 217-to-213 vote this afternoon–will temporarily and significantly reduce, but not eliminate, federal funding for Planned Parenthood.
The bill will prevent Planned Parenthood from receiving funding through “mandatory” federal funding streams—primarily Medicaid—for exactly one calendar year after the president signs it.
But it does not prevent Planned Parenthood from getting “discretionary” funding through the Title X family planning program.
It is just for one year, which is far from ideal, but at least for 12 months Planned Parenthood would see their funding go down by hundreds of millions of dollars…
The pro-life bill would eliminate more than $390 million (over 86%) of over $450 million in annual federal funding to Planned Parenthood, from all mandatory spending programs. The measure also redirects funding to community health centers which outnumber Planned Parenthood facilities 20 to 1 and offer a wider array of health care services, but not abortion.
Of course this is one of the provisions in the bill that some Republicans in the Senate want to eliminate.
It is extremely unlikely that any bill that even defunds Planned Parenthood in part will ever get through the Senate, but Trump should make an all-out effort to get this accomplished anyway.
And if Republican leadership can somehow get a bill through the Senate and signed into law that at least significantly reduces federal funding for Planned Parenthood, I will officially take back all of the negative things that I have said about the Republicans so far this year.
This week President Trump also signed a landmark executive order that does a great deal to protect religious liberty…
The order, signed during a ceremony in the White House Rose Garden, directs the Internal Revenue Service to exercise “maximum enforcement discretion” over the so-called Johnson amendment, which prevents churches and other tax-exempt religious organizations from endorsing or opposing political candidates. The order also provides “regulatory relief” for organizations that object on religious grounds to a provision in Obamacare that mandates employers provide certain health services, including coverage for contraception.
All Americans, including Christians, should be free to express their political beliefs without fearing repercussions from the federal government. The Johnson Amendment was probably always unconstitutional, and that is one of the reasons why it has never really been enforced. Congress should go even farther and completely repeal it, and hopefully that will happen someday.
So once again I want to take this opportunity to applaud Trump for doing something right. This is a good executive order, although it doesn’t quite go far enough. A major war against people of faith is being waged by very powerful forces in this country, and I am thankful for a president that is at least trying to keep some of the heat off of our backs.
I tend to get criticized by both the pro-Trump and anti-Trump camps because I try to be objective.
When our politicians do things that are wrong, I am going to say that they are wrong.
And when our politicians do things that are right, I am going to say that they are right.
We lose credibility when we act as cheerleaders for politicians that are “on our side” no matter what they say or do.
In our society today, there is a desperate need for people that are willing to think critically and that are willing to cling objectively to the truth.
Because once we let go of the truth we are all in trouble…
Top Republicans are now publicly saying that Obamacare will never be fully repealed. In fact, many Republicans in Congress are already using the term “repair” instead of “repeal” to describe what is going to happen to Barack Obama’s signature healthcare law. Without a doubt, the Republicans in Congress are eventually going to do something, but strategists in both parties are now suggesting that most of the key elements of Obamacare are going to remain once everything is all said and done. It will be put into a more “conservative” package, but it will still be Obamacare.
On Thursday, former House Speaker John Boehner made headlines all over the country when he said that a complete repeal of Obamacare is “not what’s going to happen”. Instead, Boehner said that Republicans are going to “fix Obamacare” and that they will “put a more conservative box around it” in order to keep their constituents happy.
Of course this isn’t what we voted for. For years, Republican politicians all across the country have been promising that Obamacare would be repealed once they got control of Congress, but now Boehner is telling us that all of that was just “happy talk”…
Earlier in the panel discussion, Boehner said he “started laughing” when Republicans started talking about moving lightning fast on repeal and then coming up with an alternative.
“In the 25 years that I served in the United States Congress, Republicans never, ever, one time agreed on what a health care proposal should look like. Not once,” Boehner said. “And all this happy talk that went on in November and December and January about repeal, repeal, repeal—yeah, we’ll do replace, replace—I started laughing, because if you pass repeal without replace, first, anything that happens is your fault. You broke it.”
When the Republicans finally get around to doing something, they will inevitably declare it to be a great victory, but will it actually be that much different from what we have now?
Yes, the IRS penalty for not having health insurance will probably go. But there will still be coverage for children up to the age of 26, there will still be mandatory coverage for preexisting conditions, there will still be mandatory coverage for maternity expenses, there will still be some form of Medicaid expansion and there will still be subsidies for the poor.
In the end, we are still going to have a healthcare system where half the country pays for the healthcare for the other half of the country.
That isn’t fair, and it never will be. One half of the country shouldn’t have to pay much higher rates for their own health insurance and also pay for the healthcare of everyone else in the nation as well. Either we should go back to a free market system, or they might as well go ahead and socialize the entire thing.
The thought of sticking with what we have right now is utter insanity, but unfortunately that is what top Republicans mean when they speak of “repairing” Obamacare. The following comes from the New York Times…
“When you talk about ‘repeal,’ you have just used a word that is very polarizing,” said Representative Tom MacArthur, Republican of New Jersey, who meets weekly with moderate Republicans and Democrats of equal number. “When you go to Democrats and say, ‘Help us repeal,’ that puts them in a box. If you say, ‘Would you help us repair something?’ people start listening in a whole other way.”
How in the world do you “repair” a steaming pile of garbage?
I just don’t understand.
What the Republicans need to do is very simple. As Jim Demint has suggested, the Republicans in Congress simply need to pass the same Obamacare repeal that Barack Obama vetoed not too long ago…
Heritage Foundation President Jim DeMint, the former South Carolina Republican senator, called on activists attending the Conservative Political Action Conference to push their members of Congress to send to President Donald Trump the same legislation that dismantled the law and was vetoed by President Barack Obama with all due haste.
“We must and we can repeal Obamacare now,” DeMint said. “They should send that same bill to President Trump right now.”
So what is keeping Republicans in Congress from moving forward?
One thing is the defunding of Planned Parenthood. Some liberal Republicans are promising to vote against any Obamacare repeal bill that defunds Planned Parenthood…
Sen. Lisa Murkowski (R-Alaska) says she will not vote for an ObamaCare repeal bill that defunds Planned Parenthood.
In her address to Alaska’s state legislature Wednesday, the moderate Republican offered her firmest commitment yet that she will not support defunding Planned Parenthood.
“I, for one, do not believe that Planned Parenthood has any place in our deliberations on the Affordable Care Act,” she said.
Another thing that is giving some Republicans pause are the angry protesters that they are running into at town hall meetings…
U.S. Sen. Charles Grassley of Iowa and Reps. Jason Chaffetz of Utah, Marsha Blackburn of Tennessee and Tom McClintock of California are among Republicans who faced hostile audiences at recent town hall meetings.
This comes after the Women’s March on Washington that drew hundreds of thousands of protestors the day after President Donald Trump’s inauguration.
“Republicans need to be paying attention and doing their best to understand the energy from the town halls,” said Nathan Gonzales, editor and publisher of Inside Elections, a Washington-based publication that tracks congressional races.
Of course a lot of those “angry protesters” are from Barack Obama’s private army of more than 30,000 volunteers that are being deployed around the nation in a desperate attempt to defend Obamacare.
In the end, the truth is that the Republicans should be listening to the voters that sent them to Washington in the first place. Most of those voters expected an immediate Obamacare repeal, and now that it has not happened it is making for a very confusing tax season. The following comes from Politico…
Republicans’ stalled campaign to repeal the Affordable Care Act is sowing confusion among those now trying to do their taxes.
Many taxpayers believe Republicans have already repealed the law, tax preparers say, and they’re surprised and upset to learn they are still subject to Obamacare’s penalty for failing to have health insurance — a charge that climbed this year to more than $2,000 per family.
Until it is repealed, Obamacare will continue to kill jobs and will continue to kill the middle class.
It was one of the worst pieces of legislation ever written, and it boggles the mind that so many Republicans in Congress are hesitant about repealing it.
Unfortunately, just as I portray in my novel, America is rapidly going crazy.
We have been given over to a reprobate mind, and our leaders can’t even seem to think straight any longer.
If Obamacare is going to be repealed, now is the time. Please contact your representatives in Congress and tell them that a “fix” will not work and that we want Obamacare to be completely repealed and replaced with a free market alternative.
The critics of Obamacare have been proven right. The Obama administration promised that health insurance premiums would go down. Instead, they have absolutely skyrocketed. The Obama administration promised that Obamacare would not kill jobs. Instead, firms are hiring fewer workers because of suffocating health care costs. As you will see below, even the Federal Reserve is admitting this. The Obama administration also promised that the big health insurance companies would love the new Obamacare plans and would eagerly compete with one another to win customers in the new health insurance marketplaces. Instead, many of the big health insurance companies are now dropping Obamacare plans altogether.
We witnessed the latest stunning example of this phenomenon just a few days ago. It turns out that Aetna has been losing hundreds of millions of dollars on plans sold through the health exchanges, and now they plan to pull out of the program almost entirely…
Earlier this week, Aetna, which covers about 900,000 people through the health exchanges created under Obamacare, announced that it would dramatically reduce its presence those exchanges. Instead of expanding into five new states this year, as the insurer had previously planned, the company said that it would drop out of 11 of the 15 states in which it currently sells under the law.
Aetna’s decision follows similar moves from other insurers: UnitedHealth announced in April that it would cease selling plans on most exchanges. Shortly after, Humana pulled out of two states, Virginia and Alabama. More than a dozen of the nonprofit health insurance cooperatives set up under the law—health insurance carriers created using government-back loans in order to spur competition—have failed entirely. While some insurers are entering the exchanges, even more are leaving.
Another one of “the big five”, UnitedHealth, is going to lose more than half a billion dollars on Obamacare plans. So just a few months ago they also announced that they would be dramatically scaling back their participation in the program.
Because of the ridiculous costs, health insurance companies are either going to have to abandon the exchanges completely or they will have to raise rates substantially.
Needless to say, the people that are going to ultimately feel the pain from all of this are consumers…
Customers who are now forced to obtain insurance or pay a hefty fine that grows more costly over time are being left in a difficult position. Americans are essentially stuck between a rock and hard place, either losing coverage entirely, or having to cough up money for a plan they can’t afford.
“Something has to give,” said Larry Levitt, a healthcare law expert at the Kaiser Family Foundation. “Either insurers will drop out or insurers will raise premiums.“
On the low end of the spectrum, tens of millions of poor Americans benefit from government programs that provide health care at little or no cost.
On the other end of the spectrum, the very wealthy can afford to pay the ridiculously high health insurance premiums that we are seeing under Obamacare.
So what this means is that the people that are being hurt the most by Obamacare are those that belong to the middle class.
As I mentioned above, employers are now hiring less workers because of Obamacare, and that is very bad news for the middle class. One recent study conducted by the Federal Reserve Bank of New York discovered that nearly one out of every five firms is “employing fewer workers” because of this insidious law…
According to a new survey by the Federal Reserve Bank of New York, 20.9% of manufacturing firms in the state said they were employing fewer workers because of the Affordable Care Act, the healthcare law known as Obamacare, while 16.8% of respondents in the service sector said the same.
And middle class Americans that have to pay for their own health insurance are being hit with much higher bills these days. According to one recent study, it is being projected that the average Obamacare premium will go up 24 percent in 2016…
Now, courtesy of a new study by independent analyst Charles Gaba – who has crunched the numbers for insurers participating in the ACA exchanges in all 50 states – we can also calculate what the average Obamacare premium increase across the entire US will be: using proposed and approved rate increase requests, the average Obamacare premium is expected to surge by a whopping 24% this year.
Even NBC News, which is about as pro-Obama as you can get, is reporting on the crippling premium increases that are devastating the middle class…
Millions of people who pay the full cost of their health insurance will face the sting of rising premiums next year, with no financial help from government subsidies.
Renewal notices bearing the bad news will go out this fall, just as the presidential election is in the home stretch.
“I don’t know if I could swallow another 30 or 40 percent without severely cutting into other things I’m trying to do, like retirement savings or reducing debt,” said Bob Byrnes, of Blaine, Minnesota, a Twin Cities suburb. His monthly premium of $524 is already about 50 percent more than he was paying in 2015, and he has a higher deductible.
All over the nation people are getting hit like this.
Personally, my health insurance company wanted to nearly double the rate I was paying when Obamacare fully kicked in. So I searched around and found another plan that was only about a 30 percent increase, but at least it wasn’t nearly double what I had been paying before.
But when the time came to renew that plan, they wanted to jump my premium up another 50 percent per month.
Those of us that are in the middle are being crushed by Obamacare. We aren’t poor enough to qualify for government assistance, and we aren’t wealthy enough for these ridiculous health insurance premiums not to matter.
Just about everything that Barack Obama promised us about Obamacare has turned out to be a lie.
So where in the accountability?
This is one of the big reasons why nearly one out of every five U.S. adults lives with their parents or their grandparents these days. Many young adults cannot afford the basics of life such as health insurance, and so they have got to find a way to cut back expenses somewhere. If that means moving back in with Mom and Dad, that is what some of them are going to do.
I am astounded that our system of health care has become so messed up. But this is just more evidence of how our society is falling apart in thousands of different ways, and I am not optimistic that things will be turned around any time soon.