Almost No Existing Individual Health Plans Meet New ACA Essential Health Benefi

[Freeper]

eridani (37,803 posts)

Almost No Existing Individual Health Plans Meet New ACA Essential Health Benefit


 
Last edited Sun Mar 10, 2013, 06:14 AM USA/ET - Edit history (2)

http://www.healthpocket.com/healthcare-resources/few-existing-health-plans-meet-new-aca-essential-health-benefit-standards#.UTnodq4tb3V

Given that health insurance plans will have to meet new minimum coverage standards starting in 2014, HealthPocket examined the current marketplace of individual health plans to measure the market disruption that will occur as these plans are replaced by plans compliant with the new standards.

Our research took the Affordable Care Act's Essential Health Benefits as our starting point. The Essential Health Benefits are the minimum categories of health insurance coverage that every qualified health plan must have starting January 1, 2014. HealthPocket then examined 11,100 individual health plans across the United States to see how many plans had coverage in each of the Essential Health Benefit categories.

The data shows that there will be a near complete transformation of the individual and family health insurance market starting in 2014. Less than 2% of the existing health plans in the individual market today provide all the Essential Health Benefits required under the Affordable Care Act (ACA).

Implications for Health Insurance Premiums?

One of the questions raised by the results of this study is whether the coverage expansion required by the ACA will cause premiums to rise in 2014. Although the answer to that question is beyond the scope of this study, premiums could rise due to a combination of factors, including:

* The closing of the coverage gap as described in this study
* Guarantee issue provisions that will allow people with pre-existing
medical conditions to enroll in health plans
* ACA actuarial value requirements on the maximum out-of-pocket costs that
can be charged to beneficiaries


Comment by Don McCanne of PNHP: One of the problems that needed to be addressed by the Affordable Care Act (ACA) was the fact that health plans in the individual market have very skimpy benefits - benefit packages that were designed by private insurers who were attempting to keep their premiums competitive. This study confirms the extent of the inadequacies of these plans.

In response, ACA included a mechanism to require a minimum basic level of essential health benefits (EHB). The expansion of the benefits to be covered, along with guaranteed issue to those with preexisting disorders, and placing a maximum on out-of-pocket costs, will all result in significantly higher premiums for plans offered in the individual market. That is in spite of the fact that many will still find the benefits to be deficient, and will still face large out-of-pocket costs because of the low actuarial values of the plans that most people will select.

Even with subsidies, these plans will be expensive. And for those who do not qualify for subsidies? Maybe those potential purchasers would finally see the wisdom of establishing an equitable public system of financing health care through progressive taxes - a single payer national health program. They certainly aren't going to like what they are going to get under ACA.

http://www.democraticunderground.com/10022485011

Well we had to pass it to see what's in it.
Most of the DUmmies cheered when this was passed and then they cheered when Roberts helped them keep it.

KG (23,039 posts)
2. ACA: neither affordable, nor care.

Ruby the Liberal (23,186 posts)
3. I fear premiums will skyrocket in January

Large employers are already moving to HRA/HSA accounts instead of insurance. Its going to be a bumpy ride...

eridani (37,803 posts)
4. Yes, and Democrats will be facing a huge political backlash from this

--UNLESS they can pivot to single payer.

Ruby the Liberal (23,186 posts)
5. Sadly, it may take the backlash

Right now, it still isn't politically 'expedient' and the RW doesn't give a rip about the cost savings. Its all a power play. Destroy the village to save it and see who blinks first, bla bla bla.

You can't blame us for this DUmmy. It was your house, your senate and your preezy that forced this on us all.




Ohh yeah I almost forgot, go **** yourselves DUmmies you got what you wanted so no bitching is allowed.

[JohnnyReb]

Obama said my healthcare insurance/cost(?) would go down 3,000%.....I'm still waiting on my free pony, skittle shitting unicorn and now my healthcare insurance check..........................and where's my damn free Obamaphone?

[thundley4]

Didn't Obama grandfather in all existing insurance plans?

[Tucker]

eridani (37,803 posts)
4. Yes, and Democrats will be facing a huge political backlash from this

--UNLESS they can pivot to single payer.

I'd like to point out that 2014 is an election year.

[98ZJUSMC]

Ruby the Liberal (23,186 posts)
5. Sadly, it may take the backlash

Right now, it still isn't politically 'expedient' and the RW doesn't give a rip about the cost savings. Its all a power play. Destroy the village to save it and see who blinks first, bla bla bla.

In a roiling sea of dumb, that's really stupid.  So the "backlash" is going to bring you nirvana, fudge truffle unicorns and single payer, eh?

[Freeper]

Didn't Obama grandfather in all existing insurance plans?

Actually 0bama hasn't the foggiest idea of what is in that bill. Nancy gave him some talking points and he ran with them.
I don't think Nancy had the foggiest idea either, and she was being honest when she said, "Pass it and see what's in it".

[Carl]

All the perfume in the world can`t make this turd smell good.

It is a disjointed cornucopia of selected freebies to buy votes payed for by still unknown dollar figures pulled out of the economy.

****ing retards.

[GOBUCKS]

You can't blame us for this DUmmy. It was your house, your senate and your preezy that forced this on us all.

Yes, they can, and their allies in the media will make it stick.

Any hardships would not have occurred had Bush not destroyed the economy while he was shredding the Constitution.

[Freeper]

Yes, they can, and their allies in the media will make it stick.

Any hardships would not have occurred had Bush not destroyed the economy while he was shredding the Constitution.

True, and they try to blame the Heritage Foundation for the mandate. Never mind that the HF came to their senses and dumped that idea.

[Tucker]

Actually 0bama hasn't the foggiest idea of what is in that bill. Nancy gave him some talking points and he ran with them.
I don't think Nancy had the foggiest idea either, and she was being honest when she said, "Pass it and see what's in it".

pelosi doesn't have a clue who SHE is without looking at a photo ID, much less than anything else.

[thundley4]

Actually 0bama hasn't the foggiest idea of what is in that bill. Nancy gave him some talking points and he ran with them.
I don't think Nancy had the foggiest idea either, and she was being honest when she said, "Pass it and see what's in it".

I was curious so I looked around.

Framers of the Affordable Care Act allowed some health plans to be exempt from some of the law’s rules and protections in the interests of a smooth transition and to allow businesses and individuals to keep current policies without having to make substantial changes. Almost half of all Americans who get insurance through their jobs are enrolled in such plans, although that number is expected to decline every year.

Most health insurance plans that existed on March 23, 2010 are eligible for grandfathered status and therefore do not have to meet all the requirements of the health care law.  But if an insurer or employer makes significant changes to a plan’s benefits or how much members pay through premiums, copays or deductibles, then the plan loses that status

http://www.kaiserhealthnews.org/stories/2012/december/17/grandfathered-plans-faq.aspx

So employers dropping company policies was expected?  

[JohnnyReb]

pelosi doesn't have a clue who SHE is without looking at a photo ID, much less than anything else.

Would that photo be before or after all her plastic surgery? Even she doesn't remember what she once looked like.

[Vagabond]

In a roiling sea of dumb, that's really stupid.  So the "backlash" is going to bring you nirvana, fudge truffle unicorns and single payer, eh?

They were warned.  Leftists can't be taught anything.

[jukin]

Romney care made insurance unaffordable in Masshole. 0bama HellCare will make it unaffordable in the entire USA.

When a communist democrat party member names a law, the effect will be the exact opposite of the name.

[Dori]

I'd like to point out that 2014 is an election year.

Good point.  Does the health care law kick in then or is it 2016?

[67 Rover]

Good point.  Does the health care law kick in then or is it 2016?

I do not know when the bulk of the law kicks in but parts of it have already been enacted.  The affects?


In August 2012 St Jude Medical Center cut 300 employees in order to save approximately $50 to $60 million in anticipation of the excise tax.
 
Stryker will cut 1,170 jobs, or 5% of their global workforce, in anticipation of the excise tax.
 
Due to lower quarterly report in addition to its stock being down late last year Boston Scientific had announced it was laying off 1,200 to 1,400 jobs in the U.S., while shipping investments and jobs to China. They commented that the excise tax is a contributing factor.
 
“Medtronic laid off 500 employees, with plans to cut another 500 in 2013. Medtronic employs roughly 38,000 people worldwide. The company reported gross revenue of $16.2 billion in April 2012, which will result in a $372.6 million excise tax”.
 
In addition, Fierce Medical Devices posted an article titled: The 10 Largest Medical Device Layoffs of 2012. To name a few that specifically name the device tax as the reason for layoffs:
 
Welch Allyn
Layoffs: 275
Reason: The privately held device maker cites the "onerous" device tax in its move to reduce its workforce by 10%, a plan coupled with moving some of its units overseas
 
Zimmer
Layoffs: 450
Reason: Zimmer blames the device tax for its in-progress staff slashing, looking to offset what the company says will be a $60 million annual charge.
 
Hill-Rom
Layoffs: 200
Reason: Hill-Rom is cutting 3% of its workforce, placing the blame on "ongoing economic conditions" and the impending 2.3% tax.
 

This is just a small sample and does not include my company which laid off 1000 workers and opened up a facility in Costa Rica on the same compound as our biggest competitor, the reason they have done this is simple to understand because they told us flat out. Obamacare.  OWN IT DUMMIES

[BlueStateSaint]

Good point.  Does the health care law kick in then or is it 2016?

I think that some really big taxes kick in oh, about the start of 2014.

[Tucker]

I think that some really big taxes kick in oh, about the start of 2014.

A lot of shit happens in 2014.