Wednesday, May 21, 2014

Obamacare As Insurance Industry Bailout

The lies just keep on coming. Earlier, it was the intentional fib the Obama administration told Americans when they claimed they could keep their health insurance plan if they like it. That is until millions of people got their plans cancelled because they didn't meet the minimum requirements for coverage under Obamacare. Then the White House said people can keep their doctors if they want them. That declaration was quickly rescinded when millions more people couldn't use their regular doctors under the narrow networks the Obamacare plans set up to save costs.

Now here is the latest deceit being brought under the blinding light of discovery. Advocates of the Affordable Care Act have long claimed that the legislation will save the U.S. billions of dollars in medical costs. On the surface it just didn't pass the smell test. How can having millions more people attaining health insurance and seeking medical care save money? Now we know who's money is being saved. The White House has announced it is giving the health insurance companies billions of dollars from their Executive Branch kitty, bypassing the budget planners in Congress. But subverting the U.S. Constitution is nothing new when it comes to implementing the ACA.

Why do the insurance companies need a government bailout? As many predicted, most of the early sign ups for Obamacare exchange plans were the sicker and older patients who previously couldn't get health insurance. Consequently the companies are claiming they will lose billions of dollars on these heavy users and will need to raise their premiums drastically next year.

This sequence of events was not entirely unforeseen. Buried deep in the 2,000 plus pages of the ACA is a provision whereby the government's Health and Human Services will give the insurance industry loads of taxpayer money to keep the premiums reasonable. Of course nobody in Congress actually read about this giveaway before they voted for it.

This is just another cynical way for our government to deceive the voters on the actual costs of the ACA right before the midterm elections coming up in November. But everything about the way the ACA has been handled points to short term thinking to gain political points. The employer mandate to provide health insurance for their workers was pushed back until after the election. Likewise the ability to keep one's health insurance despite noncompliance with the ACA rules was extended until after the November votes are counted. All these changes were made unilaterally by the White House despite what has been clearly written into law by Congress. Since the Executive Branch controls the Justice Department, nobody is going to knock on the White House doors to arrest the President for breaking Constitutional laws aka treason.

The ACA has now clearly been exposed as another wealth transfer mechanism in our redistributionist nation. It has nothing to do with improving the health of its citizens. Millions of people lost their insurance so that they are forced to sign up for another government handout. The insurance companies then claim they are losing money with each new customer. But no worries, the White House is there waiting to cushion their balance sheets with taxpayer funds that nobody knew even existed. This despite the fact that most doctors and consumer advocates blame the insurance industry for many of the troubles that plague American healthcare. In the meantime the executives of these companies continue to rake in obscene millions in compensation for DENYING health care to patients. This is looking more and more like the much hated bank bailouts just a few short years ago. But because this time the recipient of government largesse is Obamacare and not Wall Street, you can bet this deception will be quickly swept under the rug and classified as business as usual.

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