Obamacare Expected to Raise Individual Insurance Costs 32% Nationwide – Some States 80%!
This could be very politically difficult for the Obama Administration, much less the people who have to pay for it!
A new study from the Society of Actuaries released this week shows the average cost of individual health insurance is going to go up by a national average of 32%. While a handful of states will actually see slight decreases, such as Vermont, Massachusetts, Rhode Island and New Jersey, the vast majority of the 50 states will see increases.
According to information from the Washington Guardian:
“While some areas will see declines in medical claims costs, the report predicts the majority of states will see double-digit increases in their individual health insurance markets, where people purchase coverage directly from insurers rather than get coverage from employers.
By 2017, the estimated increase would be 62 percent for California, about 80 percent in Ohio and Wisconsin, more than 20 percent for Florida and 67 percent for Maryland. Much of the reason for the higher claims costs is that sicker people are expected to join the pool, the report said.”
This report did not prepare a similar estimate for employer-based plans, which a large number of families utilize.
Some people will now be able to get coverage in the individual insurance market, since insurance companies will no longer be able to turn them down. Other people will end up buying their own plans because their employers cancel coverage. While some of these individuals might save money for themselves, they will end up raising costs for others, hence the increases mentioned in earlier.
Different states will see different costs increase, or decrease, because each state has different demographic populations that will affect what Obamacare does to them.