A huge story broke last night and this time it could mean trouble for the Obama Administration, but could end up being good because people are now starting to understand the problem. NBC news is reporting that the White House knew that the 14 million Americans who obtain their insurance through the individual market cannot keep their insurance. According to a little known regulation, a substantial portion would not meet the grandfathered status.
The goal for the federal government is to enroll seven million Americans in the first year. This is a critical number in the ObamaCare implementation debate and is important because government actuaries are estimating at least that amount will be needed to be enrolled for the exchanges to be financially sustainable.
You may have heard of the $63 transition re-insurance fee aka the belly button tax because it is on a per head basis. The underlying reason for this tax is many people without insurance are expected to get coverage and utilize services right away early next year.
This will be more fodder for opponents of the law, and those in charge of implementing the law have massive pressure to meet the hard deadline by the end of November. The head of the Centers for Medicare and Medicaid Services, Marilyn Tavenner, appeared before the House Ways and Means Committee to punt all answers until “mid-November.” She also referred to a call center which is automated because we just tried it.
Meanwhile, they extended the enrollment dates for those looking to avoid the 2015 penalty, until March 31, 2013, but that tax is starting to look more desirable to some who simply cannot afford the large rate increases.
The reason for the increases in the individual market are because the Affordable Care Act is making all plans cover certain services and meet benchmarks in the law. Since every states regulates things differently, there is going to be stark differences all over the country.
The unknown known that is a viable challenge for the feds to reconcile the way people will be verified for subsidies while accessing healthcare.gov. This could cause a problems for some individuals later who see an increase in wages gobble up their tax refund two years from now.
On America’s Healthcare Challenge
This is an episode you do not want to miss. Lots of opinions and entertainment in this week’s episode of America’s Healthcare Challenge. Host, Sean McGuire was joined by Scott Stevens from the Nebraska Healthcare Alliance. He shared some great information about what is happening with the marketplace and his organization is poised to help people navigate this maze. Allen Hager joined the program to explain the problems with the technology of launching the health insurance exchanges. His answer was that it was bad code. Finally, John Rathouz aka John the Caddie joined with his reporting on accessing the marketplace. A lively discussion, passionate callers, a few laughs and much more in this week’s episode of America’s Healthcare challenge.
About America’s Healthcare Challenge
AHC is the most listened to radio program on healthcare reform. The show’s purpose is to inform the public by identifying important issues in the law, clarifying myth, providing education and warning small and mid-sized businesses about upcoming government penalties and regulations in real time so they have time to prepare accordingly.