NEWS: Hours After President’s Campaign-Style Obamacare “Rebate” Rally, Indiana Rate Shock Forecast Provides Dose of Reality
On Thursday, President Obama took to the podium for a rally to tout the so-called Obamacare rebates, which the administration boasts average $100 per year. Unfortunately, the $100 a year rebate still leaves most Americans in the red thanks to the monthly the premium increases that an Energy and Commerce Committee analysis of insurance company documents showed to be on the horizon. Many Americans keeping their current health plan will see their bill jump $130 per month while new customers will endure a $151 per month premium spike. Hours after the teleprompter was put away, the state of Indiana provided a dose of reality forecasting a 72 percent rate shock for Hoosier residents.
Chairman Upton commented, “No matter how hard the administration tries, the so-called rebates cannot disguise the looming rate shock that’s in store for millions of Americans. Just hours after the president’s campaign-style rally, we learn the state of Indiana is forecasting individual plans to jump 72 percent next year because of the health law, adding hundreds of dollars per month the health bills of cash-strapped Hoosiers. Sadly, the situation in Indiana mirrors our analysis of the looming rate shock – which revealed many Americans will endure premium spikes of nearly $2,000 and the rate shock for some could eclipse 400 percent. Folks deserve better. As the Obama administration continues to stand up for its corporate interests, millions of Americans are left out to pay the price.”
THE INDIANAPOLIS STAR
July 19, 2013
State says Obamacare will force 72 percent
increase in individual insurance plan rates
Insurance rates in Indiana will increase 72 percent for those with individual plans and 8 percent for small group plans under President Barack Obama's healthcare overhaul, according to the state’s insurance department.
The spike in costs is due primarily to new mandates under the law, which requires insurers to cover those with pre-existing conditions and to offer a minimum level of benefits, said Logan Harrison, chief deputy commissioner with the Indiana Department of Insurance under Republican Gov. Mike Pence. New taxes and fees under the law also contributed, Harrison said.
“This new data regrettably confirms the negative impact of the Affordable Care Act on the insurance market in Indiana,” he said. “The Affordable Care Act requires many Hoosiers to purchase more comprehensive and more expensive health insurance than they may want or need. These rates call into question just how affordable health insurance will really be for many Hoosiers.”
Costs for individual plans is expected to increase from an average of $255 per member per month in 2012 to $570 in 2014, when the most aspects of the law go into effect.
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