So what was it that our President was saying about this fabulous healthcare bill? Lower premiums? Saving money in the long run? Let's take a look at how it's actually going to play out. While it is true that the Affordable Healthcare Act will provide coverage for more people, the other promises that have been made regarding it cannot be true. Here's why. If you extend coverage to those who are currently uninsurable, or were, then the riskiness of covering people has increased a lot. Insurance companies no longer have a choice of who they can cover. They must insure anyone who applies for the insurance. This includes those with cancer, heart disease, and any other disease. The thing about insuring people who have pre-existing conditions is that it automatically increases the amount of money that the insurance is going to pay in benefits.
Now, just like any other company operating in the United States, insurance companies want to be profitable. No one opens a business hoping that they will just break even or lose money. Everyone I know who has opened a business wants to be profitable. So don't harp on big business because they want to make a profit.
Anyway, like I was saying, if a company's costs go up a lot they only have a couple of choices. 1) They can increase the premiums they charge for the insurance coverage 2) They can lower other expenses. They have already lowered expenses. I've experienced this first hand. Every insurance company has cut commissions in half or more to those selling health insurance. Many companies have also pulled out of a lot of areas to help cut costs. What about increasing premiums? Well, they have gone up as well. You can compare the new premium prices to a group plan. Most people think that group plans are inexpensive with great coverage. Why are they inexpensive? Because the company is either picking up all or part of the premium. If you were to have a group plan and pay the full premium, you wouldn't like it. An individual plan, however, is much more affordable assuming that you were healthy. That's essentially what's going on with the healthcare act. There are going to be subsidies, which is the government picking up a portion of the premium for those who qualify. This works just like the employer picking up a portion or all of the insurance premium for the employee. So to many people it is going to appear to be a better deal because they don't have to spend anything out of pocket, or very little compared to what they would have to spend otherwise. The premium is still the same, high. They just don't have to pay the whole thing. That's fine and dandy if the government had the money to do it. The fact is that healthcare is the most expensive thing that the government could have taken on. If you think Social Security is a problem, look at Medicare. The indebtedness of the United States government to Medicare far outweighs its indebtedness to Social Security. So they decided, "What the heck! We'll take on the entire nation's healthcare costs! It'll save us money!" That couldn't be further from the truth. Think of it this way. If the nation could only pay its bills for three weeks before defaulting, it can't afford to pay for anything else. The only way to fund this healthcare bill is to issue more debt. The nation's debt is going to go out of control from this and it's going to hurt.
The American people need to stop this entitlement stuff. We aren't owed anything! The way this nation was founded, we are to work hard and become self sufficient. Along the way, we help those who are less fortunate than ourselves. That's what makes a nation great! The desire to work hard and help others, especially our families. Entitlement is just selfishness and feeling robbed of something we thought we deserved and haven't attained yet. The truth is, nobody can change your life for you. If you want something, you're the one who needs to take action and go get it. There is always someone willing to assist you in the areas that you need help. Let's make America a better place by taking accountability for our own selves!
Showing posts with label health care. Show all posts
Showing posts with label health care. Show all posts
Saturday, November 2, 2013
Monday, March 22, 2010
It Finally Happened
Well, the health care bill was finally passed through the House. I think this is going to really hurt the economy. Let me tell you why.
1) The bill increases the medicare payroll tax that businesses and employees must pay.
2) 40% Excise Tax.
3) Medicare costs will be cut.
Now, think of how much money the government already takes out of your personal paycheck each time. If you're single, it's a huge percentage. If you're married, it's not as bad of a blow. One of the taxes that are on your paycheck stub are medicare taxes. The employer typically has to pay half of it as well for each employee. This is not any good for the economy. Both businesses and consumers have less cash to either invest or use to purchase goods.
The 40% excise tax is going to be charged to all insurance companies that have high-end plans. This will definitely affect the insurance premiums. I guarantee that they'll go up.
When the government cuts Medicare costs, those baby boomers will receive worse health benefits. If you didn't know, baby boomers are all retiring right now. Most of them won't have enough in retirement to live more than a year. Most insurance companies will not insure older people due to their high risk of high health care expenses. If the government cuts their health care, where do they get it from? I would think that they're the ones that need it the most.
I was told recently by a financial analyst that the current economy is just staying level. He said that it could go either way, up or down. I would guess that after this health bill being passed, the economy will depress further. Another ridiculous thing about this health bill is that everyone is going to be required to purchase health care. The good news is that it's not until 2014, so we've got 4 years to go.
If you want to get any sort of humor out of this health bill, they are going to be charging a 10% excise tax on indoor tanning services. I guess we won't be seeing as many orange people around. Those who do indoor tanning should get their tans in now before the price goes up, and while it's still winter-like conditions outside in most places.
1) The bill increases the medicare payroll tax that businesses and employees must pay.
2) 40% Excise Tax.
3) Medicare costs will be cut.
Now, think of how much money the government already takes out of your personal paycheck each time. If you're single, it's a huge percentage. If you're married, it's not as bad of a blow. One of the taxes that are on your paycheck stub are medicare taxes. The employer typically has to pay half of it as well for each employee. This is not any good for the economy. Both businesses and consumers have less cash to either invest or use to purchase goods.
The 40% excise tax is going to be charged to all insurance companies that have high-end plans. This will definitely affect the insurance premiums. I guarantee that they'll go up.
When the government cuts Medicare costs, those baby boomers will receive worse health benefits. If you didn't know, baby boomers are all retiring right now. Most of them won't have enough in retirement to live more than a year. Most insurance companies will not insure older people due to their high risk of high health care expenses. If the government cuts their health care, where do they get it from? I would think that they're the ones that need it the most.
I was told recently by a financial analyst that the current economy is just staying level. He said that it could go either way, up or down. I would guess that after this health bill being passed, the economy will depress further. Another ridiculous thing about this health bill is that everyone is going to be required to purchase health care. The good news is that it's not until 2014, so we've got 4 years to go.
If you want to get any sort of humor out of this health bill, they are going to be charging a 10% excise tax on indoor tanning services. I guess we won't be seeing as many orange people around. Those who do indoor tanning should get their tans in now before the price goes up, and while it's still winter-like conditions outside in most places.
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