As usual bureaucrats in DC are making the Repeal and Replace Obamacare complicated when it really should be very simple. We need to review how we got here and just plain backtrack.
First of all the major problems of insurance and healthcare prior to Obamacare was that insurance companies were not allowed to operate across state lines for competition or availability of customized plans. Second was there was lack of a fail safe for people who lived below the poverty level due to the lack of availability of jobs or other calamitous life situations. Third problem was that although insurance for pre-existing conditions was available, it was cost prohibitive so most people could not afford it.
OBAMA SOLVED EVERYTHING BY MAKING ALL INSURANCE UNAFFORDABLE DUE TO PRICE AND DEDUCTIBLES.
People such as students who even if working minimum wage or part time could not purchase insurance with a deduction. One of the onerous rules was that they had to earn about $12,000 in order to qualify for tax credits. If you did not qualify for Obamacare, then you were tossed back to the states for Medicaid. Unfortunately only half the states covered these people under Medicaid.
The insurance companies became monopolies through the government and could charge whatever they basically wanted so no competition was inherent in the program. They were also promised subsidies to offset some of the benefit payouts due to the catastrophic costs due to pre-existing conditions.
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Since the young and healthy who were already employed and making an average living refused to buy high priced insurance so the whole formula about the healthy paying for the sick fell apart. THE OBAMACARE INSURANCE COMPANIES FELL INTO A DEATH SPIRAL IN A VERY SHORT TIME. Insurance companies were paying out benefits for the very sick without attracting the youth as well as other people who would rather pay a fine than flush their hard earnings down the toilet.
This situation CAN AND MUST BE remedied by returning to capitalism without government interference or involvement. The insurance companies can resurrect a lot of their original policies with changes only being made to allow cafeteria selection processes allowing customizing of policies. Change the regulation that prevents buying across state lines. Set a date for these action items to be accomplished and allowing a certain amount of days overlap for the switch to be completed. This action would then take care of the very high majority of citizens.
Plans and assistance could be laid out simultaneously to take care of the pre-existing condition category in addition to the people who are caught up in those who cannot find work temporarily.
Very simple and very cost effective and for the most part gets government out of our Health Care and puts the responsibility back into the hands of the users.Tags: health care
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