Obamacare: A Lose-Lose Situation

In 2016 American Workers Face A Choice: ‘Harsh’ Penalties Or ‘Obscene’ Premiums


OPTION ONE: The $695 ‘Harsh, Stiff Penalties’

THEN-SEN. BARACK OBAMA (D-IL): “…a mandate does not work unless you impose harsh, stiff penalties on those who don't purchase it.” (CNN’s “Newsroom,” 2/23/08)

2016: “The math is harsh: The federal penalty for having no health insurance is set to jump to $695, and the Obama administration is being urged to highlight that cold fact… in 2016, the penalty for being uninsured will rise to the greater of either — $695 or 2.5 percent of taxable income — for someone who goes without coverage for a full 12 months.” (“Bigger Bite For Health Law Penalty On Uninsured,” AP, 10/19/15)

2015: “This year the comparable numbers are $325 or 2 percent of income.” (“Bigger Bite For Health Law Penalty On Uninsured,” AP, 10/19/15)

2014: “It started at $95 or 1 percent of income in 2014. The fact that it's up to $695 may take consumers by surprise.” (“Bigger Bite For Health Law Penalty On Uninsured,” AP, 10/19/15)


OPTION TWO: A Plan With ‘Obscene’ Premiums

“Premiums are expected to go up next year by a bigger amount than this year. Surveys show that among the 10.5 million remaining uninsured who are eligible, many are young adults living on very tight budgets. They may not see the value in getting health insurance, even if it is now required by law and penalties for being uninsured are rising.” (“It's Getting Harder To Sign Up Uninsured,” AP, 10/15/15)

UTAH: ‘It’s obscene’ “Ana and Oswaldo Demoura got their letter last month: a notice from their health care provider that thousands will soon receive in the mail. ‘I thought that was a mistake. I think it’s obscene,’ said Oswaldo Demoura. Addressed to Mrs. Demoura, it outlines a new coverage plan from Arches Mutual Insurance, putting their monthly premium, with tax credits, at $416.59. The problem with that is they are currently paying $126.22. That means their insurance is going up about 300 percent. … ‘Nobody can afford that, absolutely,’ Oswaldo Demoura said.” (“Health Insurance Premiums Increase In Utah,” KTSU TV, 10/22/15)

IDAHO: “Larry Olmsted: I got my annual notice of changes to my health insurance plan for 2016. I opened it with great anticipation, since I had been guaranteed by President Obama that our family would save $2,500 per year. There must have been some misprints in the package of materials I received, because they said my monthly premium would increase by 8.4 percent, my maximum out-of pocket will increase by 100 percent, my hospital copay will increase by 77.1 percent, and prescription drugs will increase marginally. By my calculations, next year I will spend $2,704 more for insurance in 2016 than I did in 2015, if I don’t go to the hospital.” (Letter To The Editor, “Wasn’t Obamacare Supposed To Cut Costs?” Idaho Press-Tribune, 10/2/15)



Related Issues: Obamacare, Health Care