Obamacare to increase premiums in Ohio 88%
The increase will be on plans that people buy individually. It's estimated that about 15 million of these policies will be purchased as many businesses will be dropping their group coverage and forcing their employees to buy it on their own.
These aren't numbers that are fudged, as some liberals claimed following the news from California that premiums would increase for individuals at least 25%. State after state are reporting massive increases in premiums which means it is likely that fewer people will be buying individual policies.
In Ohio, no relief is in sight:
Democrats continue to try to dismiss the evidence that Obamacare will dramatically increase the cost of insurance for people who buy it on their own. But on Thursday, the Ohio Department of Insurance announced that, based on the rates submitted by insurers to date, the average individual-market health insurance premium in 2014 will come in around $420, "representing an increase of 88 percent" relative to 2013. "We have warned of these increases," said Lt. Gov. Mary Taylor in a statement. "Consumers will have fewer choices and pay much higher premiums for their health insurance starting in 2014."
The rates that Ohio reported are proposed rates; the Department of Insurance still has to formally approve them. "A total of 14 companies proposed rates for 214 plans to the Department. Projected costs from the companies for providing coverage for the required [by Obamacare] essential health benefits ranged from $282.51 to $577.40 for individual health insurance plans."
It's called "rate shock," but it's not shocking to people who understand the economics of health insurance. In August 2011, Milliman, one of the nation's leading actuarial firms, predicted that Obamacare would increase individual-market premiums in Ohio by 55 to 85 percent. This past March, the Society of Actuaries projected that the law would increase premiums in that market by 81 percent. Like good players on "The Price is Right," they both came in just under the Dept. of Insurance's figure.
No doubt Democrats will say this is just another speed bump and that once Obamacare is implemented and people get used to it, everything will be peachy. Is that really likely?
Or is it more likely that Obamacare will continue to tear up the health care system, radically increasing costs and providing fewer services at a greater price?
Ohio tends to prove the latter scenario.