Obamacare loses coverage for more people

This week, insurance companies will no longer be able to deny coverage to children for pre-existing conditions as a result of obamacare. So what is the net effect? It is being reported today that much of the health insurance industry is simply withdrawing from the issuance of any new policies for children; they can only get coverage as part of a family plan. This means that not only will those with pre-existing conditions not get coverage, but children without that problem will also be denied coverage.

This result should not surprise anyone. Until now, children's coverage was one of the lowest cost forms of insurance. A family with children could get coverage for the kids at a very low cost since most children are relatively healthy. These plans enabled poor families to get coverage for at least the children so that they were not left with a disaster if one of the kids got seriously ill. Adding new children to the plans who have pre-existing problems means that there would be a much greater cost paid for medical care for those insured under the policy. The only way to pay for such costs is to raise premiums. Of course, raising the premiums for children's policies by 100 or 200% would be viewed as an outrage by the public. Further, it would force many of those who already have this coverage to give it up as too expensive. So the companies are opting to close off new admissions to these policies rather than shifting the payment structure ina way that would like lead to an outcry against them.

Anyone who considered the obvious effect of these new provisions in Obamacare at the time the law was passed would know that the law would result in this debacle. Nevertheless, the Obamacrats sold this mess as a boon to children, not a move that would deny coverage to millions while still not getting coverage for those with pre-existing conditions. the Obamacrats forgot here, as usual, that spending has to be paid for but that insurance companies cannot simply print more money like the Obama government.

This is another good reason why Obamacare needs to be repealed and replaced.