The Ground Game: Slow To Begin; Exemptions; And Sticker Shock

Updates

December 9, 2013: what did he know and when did he know it? Apparently, not very much, and certainly not soon enough.

Obama himself reportedly didn’t know the extent of the problems until at least one week into the launch. [One word: incredible]. It took the administration nearly two weeks to fully realize that the woes went beyond volume and start adjusting their message.

It wasn’t until more than three weeks after October 1, 2013, -- an eternity in crisis management, experts said – that Obama conceded during an address in the Rose Garden that there was “No excuse for these problems” and took responsibility for what had happened. [For a guy who flew the first helicopter into get/kill bin Laden, this was a pretty bad failure.]

The president did not help himself when his repeated claims of “if you like your health care plan, you can keep it” turned out to be incorrect. [A lie.] The administration tried to push back by saying that those with cancelled policies could sign up for new and better plans. [Another lie.] But not until November 7, 2013, did Obama issue a mea culpa for the cancelled policies and attempted a quick fix to let people stay on their plans. [By December 9, 2013, in the big scheme of things, not much has changed.]

And no one's head will roll. 


December 5, 2013: Young people, upon which the whole scheme is predicated on, are not buying into ObamaCare. [Of course, technically no one is: that module -- the module to actually pay the premiums -- has not yet been written.]

Here’s Obama aiming his comments at young people this Wednesday: “The product is good. It’s affordable. This is a big deal, to quote Joe Biden. And if you’re a student-body president, set up a conference on campus. If you’re a bartender, have a happy hour.”

Happy hour?

Affordable?

The average subsidy for a 21-year-old who makes $30,000 will be $454, the study found. But a 61-year-old in the same income bracket will get a subsidy of $4,018.

As a result, the 21-year-old will pay an average $1,635 in premiums for the Bronze plan, the cheapest, while the 61-year-old will pay just $867.

$1,635 / 12 months = $136/month. Actually I don't find $136/month all that expensive for a comprehensive health care plan, but, of course, that does not include co-pays and deductibles.

Original Post

California's early experience with ObamaCare: predictable. CNBC is reporting:

California's enrollment numbers are being closely watched because of its huge population, and because the state is running its own Obamacare exchange. Thirty-six other states are letting the federal government sign up their residents through HealthCare.gov.

As of Monday, 79,891 people had so far signed up for insurance through the Covered California exchange. Thursday was the first time The Golden State released a breakdown of who was enrolling, and the initial picture shows a lot more gray hair than surfer blonde.

For example, 10,387 people between the ages of 55 and 64 enrolled in Obamacare insurance in California in October, which was a whopping 34 percent of all individuals enrolled in that month. But that age group comprises just 11 percent of the state's overall population.

In second place, 22 percent of the total number of individuals enrolled were adults between the ages of 45 and 54, who only represent 14 percent of the state's total population.

The president "needs" seven (7) million to enroll (and paying premiums, I assume) by March 31, 2014. The ten most critical and closely watched states and projected enrollment:

• California: 1.3 million
• Texas: 629,000
• Florida: 477,000
• Washington State:  340,000
• Oregon: 237,000
• New York: 218,000
• Pennsylvania: 206,000
• Georgia: 204,000
• North Carolina: 191,000
• Ohio: 190,000 

Grand total: slightly less than 4 million

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Federal judge rules on side of Cahtolic Diocese: Catholic groups exempt from ObamaCare
At least for now; the Supreme Court may take up the issue. The headline suggests all Catholic institutions are exempt. -- November 21, 2013

Sticker Shock

USA Today:

Sweeping differences in health care exchange pricing among states and counties is leading to sticker shock for some middle-class consumers and others who aren't eligible for subsidies under the Affordable Care Act.

The average prices for the most popular plans are twice as high in the most expensive states as those with the lowest average prices, according to a USA TODAY analysis of data for 34 states using the federal health insurance exchange.

PPOs, the most popular type of health care plan, carry monthly premiums that range from an average of $819 a month in the most expensive state to $437 in the least expensive. Plans on the federal and state exchanges are grouped into four categories that cover 60% to 90% of out-of-pocket costs. USA TODAY looked at the pricing of PPOs and HMOs across these bronze, silver, gold and platinum categories.

It's the bronze-level plans folks need to avoid:

The premiums for bronze-level plans are generally the least expensive, but "the deductibles are simply not affordable," says Laura Stack, a former financial analyst looking for full-time work and using her 401k to pay for health insurance. "Many will not be able to afford the per person deductibles before insurance begins to pay. What are you really paying for?"