Opinion

Obamacare Continues To Circle The Drain

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Obamacare’s third open enrollment season started November 1. Will the third time be the charm? Or will it be three strikes and you’re out? Based on enrollment troubles, the latter is more likely. But striking out doesn’t mean Obamacare will go away. Like presidential candidates polling in the low single digits, they hang in there until the money finally runs out. Perhaps Obamacare will play out the same way.

Enrollment predictions are way off. Obamacare insurance exchanges, originally predicted to enroll 24 million within the first several years, will be lucky to enroll 10 million by the end of this current enrollment period.

And costs are rising. The cheapest “bronze” insurance plans will cost 11 percent more this year, and the deductible will rise to $5731.

Remember when the president told everyone, “Your premiums will go down”?

For a 30-year-old, the monthly premium will be $257, or just over $3000 per year. With a $5731 deductible, this soon to be broke 30-year-old will have to pay almost $9000 out of pocket before his insurance even kicks in. When it does, the insurance will only cover 60 percent of her medical costs, leaving Mr. or Ms. 30-something on the hook for the remaining 40 percent. Quite the deal. No wonder people aren’t beating down the doors to purchase an Obamacare plan.

Those unable or unwilling to pay mega bucks for a lousy insurance plan can go without insurance. As long as you don’t get sick or injured to the tune of $10K or more, you will still come out ahead without insurance. Or almost so. Don’t forget the Obamacare penalty of $695 for not having health insurance.

Suppose you do decide to fork out $3000 for insurance. Next you have to find a policy. Humana is discontinuing several Obamacare policies, leaving 100,000 individuals currently insured without coverage next year.

It’s not just commercial insurance companies cancelling plans, but co-ops too. Hillary Clinton excoriates insurance companies for, “Pocketing profits rather than passing savings to consumers.’’ Eliminate profits and the companies go away. Basic economics. The left embraces co-ops, “Because they provide valuable services and save consumers money.” But even they go under when costs outpace revenue. The only plans left have cut costs so much that the insurance is worthless and no one wants to sign up.

Obamacare initially provided financial support to create these non-profit co-op insurance plans. Half of those created failed, including one in Colorado leaving 80,000 previously insured individuals high and dry. Or one in Kansas, leaving 59,000 without insurance. This despite federal start up loans of over $1 billion, never to be repaid by the bankrupt insurers.

Remember when the president told everyone, “if you like your health care plan, you can keep your health care plan”?

None of this should be a surprise. Obamacare imposed numerous regulations and mandates, all of which make insurance costlier. The federal government also provided subsidies, which for the first few years hid the true costs of insurance.

This is called bait and switch, selling an apparent bargain followed by a price increase. Like the free year of satellite radio and navigation in your new car. The free service you like and come to rely on suddenly costs $20 per month.

Now that the subsidies are disappearing, the true Obamacare cost chickens are coming home to roost. Insurance costs more with fewer choices. Narrow provider networks, designed to steer patients to the least expensive (and often lesser quality) doctors and hospitals as a means of cutting costs, and longer waits to see a doctor. And likely not the doctor of your choice.

A recent Deloitte survey found 70 percent of Obamacare plan enrollees dissatisfied with their plans. Insurance is rapidly becoming unaffordable, leaving those without insurance to use ultra expensive emergency rooms for all of their medical care.

Chaos and confusion. Predictable? Yes. Intentional? Probably. What’s the end game? Single payer. Don’t take my word for it, ask the president who declared in 2003, “I happen to be a proponent of a single payer universal health care program.” Tried and failed in Vermont. But Obama will not be deterred. “We may not get there immediately” he told supporters. As Obamacare circles the drain, single-payer is ready to ride in and save the day.

Brian C Joondeph, MD, MPS, a Denver based retina surgeon and writer. Follow him on Facebook  and Twitter.