We all know the Affordable Care Act, known as Obamacare, is a hot topic among the nation’s political class. And it’s an important one on Main Street too.
Here’s the thing to remember about Obamacare – while it may not affect you directly, it affects all of us in some way. After all, health care is the economy.
Under the current law, insurers are having a tough time turning a profit. The main reason is there aren’t enough young, healthy people enrolled in their plans to cover the costs of the sicker population. In the end, it means insurers must raise rates.
This has been happening across the country, and if the writing on the wall is clear, it means there will be less options for health coverage.
Consider that CareFirst Blue Cross wants a 50 percent rate hike, and Anthem in Virginia requested a 37.7 percent increase. Or that Aetna is leaving the individual insurance market altogether. In Iowa, choice is limited to one carrier, and it only covers a few counties.
The key date for Obamacare is June 21, which is when insurers must decide whether to stay in the exchanges.
Like I said, we’re all in this together. Many folks will lose though, and it will likely be those in the middle. That is, the people who will be hit hardest are working, make too much to get subsidies, but have no employer coverage available.
As it stands, we’re on course for millions of uninsured people and lower economic output. Will our leaders change course? Time will tell, but time is also short.