Really Understanding Obamacare


obamacare_leaflet_reutersYou undoubtedly have heard countless commentators—on both sides of the Obamacare debate—speak about how the new healthcare law will affect you. But if you’re like most people, there are many aspects of this immensely long and complex piece of legislation that you don’t know anything about. Moreover, you may wish that you felt better-equipped to answer the claims of devoted leftists who confidently assert that Obamacare is a benefit for the American people.

To address these concerns, Discover The Networks today announces the publication of one of the most important special features it has ever produced: Obamacare: Before and After. This new addition to our website: (a) examines the state of healthcare in America prior to Obamacare’s passage; (b) lays out free-market solutions that could have effectively addressed the problems that Obamacare was ostensibly created to solve; (c) explains all the major provisions contained in the Obamacare legislation itself; and (d) examines the politics of Obamacare—laying bare the unspoken yet transformative political agendas that sit at the very heart of this law.

Everything in Obamacare: Before and After is arranged in a reader-friendly, bullet-point format designed to make the complex simple, and to let you easily zero in on the topics that most concern or interest you. You will not get lost in dense and interminable text. Rather, you’ll get plain talk and clear, succinct information. Just a few of the vital facts that you will learn in this feature include the following:

* Politicians have commonly sought to win public favor by passing laws requiring insurance companies to include an ever-expanding range of mandatory benefits in all their healthcare plans, regardless of whether the insured even wanted them. As of 2009, there were 2,133 of these mandates which were, in some places, increasing the price of basic insurance by as much as 50%. Mandates like these are antithetical to a free marketplace.

* Consumers have long been barred from purchasing healthcare policies from insurers located in other states. This has dramatically reduced competition among insurers, and has kept the cost of premiums much higher than they would have been in a truly free marketplace.

* Government healthcare programs like Medicare and Medicaid egregiously shortchange doctors and hospitals when reimbursing them. Thus, healthcare professionals who accept Medicare and Medicaid patients are forced to charge their privately insured patients higher rates than would otherwise be necessary. This causes families with private insurance to pay an extra $1,500 to $1,800 for their premiums each year.

* From the moment President Obama and the Democrats began pushing for healthcare reform, they repeatedly emphasized the notion that 46 million Americans lacked insurance. This bogus figure included (with some overlap) 10 million who earned over $75,000 annually; another 8 million who earned between $50,000 and $75,000; 14 million low-income Americans who were fully eligible for government insurance programs but simply had never taken the time to enroll; 6 million who were eligible for employer-sponsored insurance but chose not to take advantage of it; more than 10 million (including many illegal immigrants) who were not U.S. citizens; and millions of young “invincibles” who chose not to purchase insurance because low-cost, bare-bones plans without a litany of mandates were not available in their states.

* Obamacare’s employer mandate stipulates that every business with 50 or more full-time workers must provide insurance coverage for all of them. Thus, business owners now have an incentive to limit their full-time work forces to 49 people or fewer, and to rely more on independent contractors.

* The Obamacare employer mandate adds, on average, $1.79 per hour to the cost of keeping a single person on the payroll full-time, and $5.51 per hour to the cost of employing a full-time worker with dependents.

* President Obama consistently promised that his health reform plan would “bring down premiums by $2,500 for the typical family.” But the premiums for insurance plans available on the Obamacare exchanges are higher than pre-Obamacare rates in at least 45 of the 50 U.S. states. For middle-aged policy holders in 32 states, the premium increases range from 26% to more than 100%. In 27 states, the Obamacare premiums for young adults are between 51% and 252.5% higher than pre-Obamacare levels.

* When Obamacare was being debated, the President repeatedly pledged that “no family making less than $250,000 a year will see any form of tax increase.” But Obamacare imposes at least 18 new taxes, tax hikes, or official policies designed to collect hundreds of billions of dollars in revenues. Many of these will affect people at all income levels.

* The architects of Obamacare knew that if the economics of the law failed to work out as projected, insurers could lose a great deal of money. To address this possibility, Obamacare explicitly contains a provision designed to bail out insurers whose costs prove to be higher than originally anticipated.

* Obamacare was passed, without a single Republican vote, by means of a stunning series of sleazy backroom deals and procedural maneuvers.

* As early as February 2010, the President demonstrably knew quite well that Obamacare’s “grandfather” provision for the preservation of existing plans was toothless, and that millions of Americans were likely to lose their insurance. The Obama administration’s own officials explicitly predicted that as a direct result of Obamacare, some 93 million people would in fact lose their existing insurance plans and would be forced to purchase new ones.

* It is a matter of public record that President Obama and many other leading Democrats view Obamacare not as a final solution to the nation’s healthcare problems, but rather as a stepping stone toward the ultimate goal of a single-payer system administered entirely by the federal government.

* One of the leading objectives of Obamacare is the redistribution of wealth, mostly from middle- and high-income households to: (a) tens of millions of low-income people who will be funneled, en masse, into Medicaid, and (b) moderate-income households that will be newly eligible for federal (taxpayer-funded) subsidies. This redistribution will have the effect of promoting an entitlement mentality and a greater dependence on government.

* Another Obamacare objective is political payback. The law has designated some $67 million in taxpayer funds for nearly 50,000 so-called “navigators” to help people enroll in Obamacare plans. These navigators are mostly affiliated with more than 100 leftist organizations that have strongly supported President Obama over the years.

* Obamacare is also designed to serve as a vehicle for Democratic voter-registration.

* Obamacare is designed to increase the size and power of the federal government. The IRS, for instance, will hire more than 16,000 new agents to monitor and enforce compliance with Obamacare’s financial mandates. Moreover, Obamacare will be administered by at least 159 newly created boards, commissions, and agencies—with the assistance of dozens of existing federal bureaus.

Click this link to view: Obamacare: Before and After.

Freedom Center pamphlets now available on Kindle: Click here.

  • Insecticide

    The Biggest Problem in Obamacare is that it is a demand side management only and has nothing to say about the supply side. In other words, it dictates to people to go to exchanges to choose coverage but there is nothing in the law that guarantees that suppliers will offer an amount of policies equal to the number that consumers demand. So suppose the law “works” and 35 million households choose their plans on the exchange. What happens if all the insurers are only willing to sell 4 million plans? Not because they discriminate but because each insurer will limit its own maximum capacity and in total aggregate it will be far less than demand. Then what? How come no one involved in Obamacare paid any attention to clearing the market?

    • NAHALKIDES

      Because they don’t care about the market – they intend to destroy it and replace it with complete government control. Nor would Obamacare be improved by imposing more controls on the supply side to add to those on the demand side – government has no business controlling the supply of anything, which in this case means taking over the practice of medicine.

      Obamacare is a failure (judged by quality of healthcare) because government control of industry is always inferior to the free market.

  • Showbiz1

    As a conservative, and a 35 year insurance professional, I can say pretty reliably that buying across state lines is not a good idea for many reasons. First, it wont work as markets will change and react to consumer demands. Second, it will destroy any consumer protections afforded by state based insurance laws.
    Third, most consumers will not understand the problems associated with it until its too late.

    Most importantly, the GOP needs to find a better cornerstone issue for replacing O’Care than the “across state lines” issue. Its a loser and we need to emphasize all the other reasons to undo O’Care.

    • JohnnaGalt

      Really? Are you serious? I don’t believe you are a conservative or a 35 year insurance professional. No one is wanting to get rid of state insurance regulations, so that seems like a straw-man argument to me. Most consumers understood the problems with Obamacare, but the Democrats in Congress pushed it through anyway. Where are your solutions if you really are who you say you are?

      • Showbiz1

        What on earth are you talking about? I dont need to prove my cred to you, but if you read as well as you complain, you would see the clear issues in my comments.

    • NAHALKIDES

      Buying across state lines will have the effect of eliminating costly state mandates, which are a large part of the problem. People accepted state regulation of insurance companies to the extent of guaranteeing solvency, but the states extended that to regulating what type of policies could be offered, and this is where the trouble began.

      • Showbiz1

        I appreciate your thoughts, but the state mandates are comparable throughout 75% of the states. If a mandate is in 75% of the states, it should be in the new plan(s). I see this as reasonable.
        As far as the state regulation goes, there is no other consumer access to regulation for fraud, denied (legitimate) claims, broker incompetence (or worse), or solvency. That’s why state regulation is needed. Thanks for your comments…

    • Patriot077

      Is there any reason that states now restrict the number of insurers they license for medical insurance? Property/casualty markets do not seem to face the limitations of health insurers.
      I think that is the real issue and the point of “across state lines” regulations being lifted.

  • Lanna

    Well, Most of us knew that there would be people that are not going to sign up for Obama care, especially the youth. The link between the healthcare website and the insurance companies was never built, so the government cannot communicate with the Insurance companies, its a breakdown of the system and does not function. Even if you signed up, you may not really have insurance. So now AETNA wants to pull out, or raise premiums, (Does anyone understand where this is leading, to push people into a single payer system, or once again, (Do a bail out of the Insurance companies.) I think this government is to blame for all the problems. and failures, and the people get stuck with the bill…another way to collapse the system! Just keep bailing out failed policies, this administration knew exactly what it was doing..they are not incompetent, they are evil.

  • vladimirval

    Details, silly details. Obamacare has two main purposes. First it is an other push for top down control of the people and our economy. And also as a means to bankrupt the health care industry when Obamacare implodes giving us a single source government insurance agency. So what’s the worry? The government is doing such a fine job running the DMV. And look at the successes of the post office and what they did with the auto industry (moved it to China) and the condition of the railroads? America is being systematically ripped apart. Obamacare is just an other hammer banging the chisel against our foundation. That is what we have to realize and then act on putting a stop to the wrecking crew chipping away at our freedom and individual liberties. We can and must root out the beasts in Congress and replace them with patriotic servants of the people and in 2016 do the same to the White House occupant. The situation is in our hands. Let’s get to work.

  • NAHALKIDES

    This is a very important resource in DTN. It will take some time to go all the way through it.

  • Linda Cohen

    Very good article. I agree with others that this will lead to a bailout and a one payer system. They knew what they were doing and made it so that it could fail. We need a Revolution to free us from these destructive forces before it is too late.