Steve Anderson hosts this week's compendium of health care policy and polity, channeling negative vibes into positive outcomes.
Kudos!
Kudos!
Thursday, May 7, 2015
Hey Brother, Can You Spare a Dime?
During the Great Depression when 1 out of 4 were out of work a song made
popular by Bing Crosby was everywhere on the airwaves.
The song tells the story about a beggar that lost his job and strikes back at "the system" that contributed to his job loss.
They used to tell me I was building a dream
With peace and glory ahead
Why should I be standing in line
Just waiting for bread?
Once I built a railroad, I made it run
Made it race against time
Once I built a railroad, now it's done
Brother, can you spare a dime?
The tune was based on a Russian-Jewish lullaby sung by composer Jay Gorney's mother when he was a child.
Today we have our own challenge, except this one is about health insurance.
Obamacare has turned the health care, and health insurance system on its head. Premiums today are anything but affordable, except to the extremely poor or extremely wealthy.
Everyone else is screwed.
Yesterday I had a call from a woman who would be losing employer group health insurance at the end of the month. They had coverage through her husband's job but that is going away and he will become self employed.
The family of 5, all in good health, are looking for something affordable to replace their group health plan.
Accustomed to paying $200 per month for a good plan that included dental and vision, they needed to get an idea of what was available.
Projected income is over $100,000 so they will not qualify for a subsidy.
Sounds odd doesn't it?
The new system says if you earn less than $100,000 you are poor and need a government handout to afford your affordable health insurance plan.
To replace their existing health insurance plan they will need to come up with $1,115 per month, and that's just for the Gold health insurance plan.
Add another $100 for dental and vision.
That's disgusting.
Comparable coverage before Obamacare would be less than $500 per month.
Hey brother, can you spare a dime?
The song tells the story about a beggar that lost his job and strikes back at "the system" that contributed to his job loss.
They used to tell me I was building a dream
With peace and glory ahead
Why should I be standing in line
Just waiting for bread?
Once I built a railroad, I made it run
Made it race against time
Once I built a railroad, now it's done
Brother, can you spare a dime?
The tune was based on a Russian-Jewish lullaby sung by composer Jay Gorney's mother when he was a child.
Today we have our own challenge, except this one is about health insurance.
Obamacare has turned the health care, and health insurance system on its head. Premiums today are anything but affordable, except to the extremely poor or extremely wealthy.
Everyone else is screwed.
Yesterday I had a call from a woman who would be losing employer group health insurance at the end of the month. They had coverage through her husband's job but that is going away and he will become self employed.
The family of 5, all in good health, are looking for something affordable to replace their group health plan.
Accustomed to paying $200 per month for a good plan that included dental and vision, they needed to get an idea of what was available.
Projected income is over $100,000 so they will not qualify for a subsidy.
Sounds odd doesn't it?
The new system says if you earn less than $100,000 you are poor and need a government handout to afford your affordable health insurance plan.
To replace their existing health insurance plan they will need to come up with $1,115 per month, and that's just for the Gold health insurance plan.
Add another $100 for dental and vision.
That's disgusting.
Comparable coverage before Obamacare would be less than $500 per month.
Hey brother, can you spare a dime?
Wednesday, May 6, 2015
ObamaCare ka-boom
As if we needed them, two more reasons why the ObamaTax is imploding. One we've already covered:
"Almost half of the insurance exchanges set up by states are struggling financially"
Again, this should surprise exactly no one.
But the Daily Caller article then posits an interesting possibility:
"[O]fficials are considering raising fees on insurers, asking the state for more money and working with other states to improve their exchange. Connecticut plans to sell advice and strategy to struggling states."
Given its history, seems like the only bit of Connecticut's advice of any value would be on how not to set up or run an Exchange.
But what's remarkable to me is how many folks still don't 'get' that insurers don't pay these fees, and that states don't have money: customers pay the fees, and tax-payers provide the funds.
So the only thing they're going to accomplish is higher premiums (so fewer folks buying or keeping plans) and raising taxes (same same). Where do they think all this money's coming from?
Oh yeah, us proles.
[Hat Tip: FoIB Holly R]
"Almost half of the insurance exchanges set up by states are struggling financially"
Again, this should surprise exactly no one.
But the Daily Caller article then posits an interesting possibility:
"[O]fficials are considering raising fees on insurers, asking the state for more money and working with other states to improve their exchange. Connecticut plans to sell advice and strategy to struggling states."
Given its history, seems like the only bit of Connecticut's advice of any value would be on how not to set up or run an Exchange.
But what's remarkable to me is how many folks still don't 'get' that insurers don't pay these fees, and that states don't have money: customers pay the fees, and tax-payers provide the funds.
So the only thing they're going to accomplish is higher premiums (so fewer folks buying or keeping plans) and raising taxes (same same). Where do they think all this money's coming from?
Oh yeah, us proles.
[Hat Tip: FoIB Holly R]
Tuesday, May 5, 2015
Three sides of a coin
When one considers insurance, the majority of claims are paid to 3rd parties. For example, life insurance proceeds are paid to one's beneficiary, auto claims to the body shop, medical claims to a doctor or hospital, and so on.
But three types of plans, all of which are fairly similar, actually pay benefits to the insured. These are (in no particular order) critical illness (CI), long term care (LTCi), and disability insurance (DI).
We've blogged on LTCi many times (most recently here). Thanks to FoIB Sandy M, we learn that Fidelity (of investment fame) has produced "a pretty cool chart of US and various sorts of health care" including a very useful interactive map of how much long term care costs around the US.
We haven't blogged much on Critical Illness coverage, which is a shame, because these plans also pay the insured cash benefits for things like heart attacks and cancer. These plans can be particularly useful if one has a high deductible (HSA) plan or one of the newfangled ObamaPlans with sky high out-of-pocket exposures. By providing a quick injection of cash, these plans can mitigate a lot of financial pain.
Finally, the fine folks at the Council for Disability Awareness remind us that May is Disability Insurance Awareness Month. To that end, they're sharing the results of their 2014 consumer survey. Among the key findings:
But three types of plans, all of which are fairly similar, actually pay benefits to the insured. These are (in no particular order) critical illness (CI), long term care (LTCi), and disability insurance (DI).
We've blogged on LTCi many times (most recently here). Thanks to FoIB Sandy M, we learn that Fidelity (of investment fame) has produced "a pretty cool chart of US and various sorts of health care" including a very useful interactive map of how much long term care costs around the US.
We haven't blogged much on Critical Illness coverage, which is a shame, because these plans also pay the insured cash benefits for things like heart attacks and cancer. These plans can be particularly useful if one has a high deductible (HSA) plan or one of the newfangled ObamaPlans with sky high out-of-pocket exposures. By providing a quick injection of cash, these plans can mitigate a lot of financial pain.
Finally, the fine folks at the Council for Disability Awareness remind us that May is Disability Insurance Awareness Month. To that end, they're sharing the results of their 2014 consumer survey. Among the key findings:
- 57% of working adults report having no private disability insurance
- One third would consider buying disability insurance if they knew more about it
- 41% would consider buying it if it were less expensive, but perceptions about costs vary considerably
That last is important: many (most?) folks think disability coverage is unaffordable, but seldom check to confirm that by asking for a quote. So if you're one of the 57%, why not check with your employer about a short or long term disability group plan or - better yet - ask your professional, independent agent for a quote.
You may be surprised by just how affordable coverage can be.
You may be surprised by just how affordable coverage can be.
Monday, May 4, 2015
So, How's That Obamacare Working For You?
POTUS made a lot of promises about Obamacare. Lower premiums. More
people covered. If you like your plan..............
And, Obamacare was supposed to REDUCE ER visits.
Well...........
So why did it happen?
And, Obamacare was supposed to REDUCE ER visits.
Well...........
Three-quarters of emergency physicians say they've seen ER patient visits surge since Obamacare took effect — just the opposite of what many Americans expected would happen. - USA TodayNo real surprise there,
So why did it happen?
In addition to the nation's long-standing shortage of primary care doctors — projected by the federal government to exceed 20,000 doctors by 2020 — some physicians won't accept Medicaid because of its low reimbursement rates. That leaves many patients who can't find a primary care doctor to turn to the ER — 56% of doctors in the ACEP poll reported increases in Medicaid patients.Isn't that special?
Assuring Clarification
We're not generally in the habit of carrying water for insurance companies, but last week's news about Assurant Health has engendered some confusion. Briefly, Assurant Health is (was?) a subsidiary of a larger company that also owns Assurant Employee Benefits (which sells group non-medical coverage, such as dental and disability).
Unlike its sister company, Assurant Employee Benefits continues to enjoy robust growth and financial stability. According to the carrier:
Unlike its sister company, Assurant Employee Benefits continues to enjoy robust growth and financial stability. According to the carrier:
"Assurant Employee Benefits (AEB) is not exiting the benefits market ... By approaching the sale of Assurant Employee Benefits in this public manner, it allows for us a faster process. The public announcement allows us to be transparent and control the process. We expect to know within a few short months who our new parent company will be."
I've been fortunate to work with some great folks there over the years, and know them to be a solid company. Someday I'll have to tell you about my first death claim with them....
Who'da thunk it?
As Bob reported a week or so ago, the Golden State's health exchange is fast approaching room temp. But they're not alone:
"Nearly half of the 17 insurance marketplaces set up by the states and the District under [the ObamaTax] are struggling financially ... wrestling with surging costs, especially for balky technology and expensive customer call centers"
That's right: the much-touted call centers don't work, but we'll keep throwing money at them anyway.
Makes sense (if you're in DC).
On the other hand, even Ms Burntwell (et al) may have begun to see the value that professional agents bring to the party:
"The agency that runs the public exchange system in the HealthCare.gov states has given navigators, certified application counselors (CACs) and other nonprofit assisters a webinar on how to work with insurance agents and brokers."
Unlike these "counselors," agents must be vetted for prior criminal activity, licensed by their state, have strict continuing education requirements, and carry malpractice (Errors & Omissions) insurance.
Nice that DC finally got a clue.
"Nearly half of the 17 insurance marketplaces set up by the states and the District under [the ObamaTax] are struggling financially ... wrestling with surging costs, especially for balky technology and expensive customer call centers"
That's right: the much-touted call centers don't work, but we'll keep throwing money at them anyway.
Makes sense (if you're in DC).
On the other hand, even Ms Burntwell (et al) may have begun to see the value that professional agents bring to the party:
"The agency that runs the public exchange system in the HealthCare.gov states has given navigators, certified application counselors (CACs) and other nonprofit assisters a webinar on how to work with insurance agents and brokers."
Unlike these "counselors," agents must be vetted for prior criminal activity, licensed by their state, have strict continuing education requirements, and carry malpractice (Errors & Omissions) insurance.
Nice that DC finally got a clue.
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