ObamaCare’s efforts to expand insurance coverage and bring down costs depend entirely on convincing young people to buy coverage, while the law gives these people every reason not to.
A marketing presentation put together for the administration admits that convincing the young and healthy — who make up 48% of the uninsured — to buy insurance will be difficult, since they “take health for granted” and have a “low motivation to enroll.”
What it doesn’t say is that ObamaCare will give them still more reasons not to buy insurance.
According to recent news reports, the cheapest policies so far proposed for ObamaCare exchanges will cost an average of about $2,400 a year. And these come with higher deductibles, bigger co-pays and stricter limits on doctors and hospitals than many individuals can buy today at lower prices. This isn’t exactly a strong selling point for millions of young people who rarely need health care.
What’s more, ObamaCare guarantees insurance coverage when one of these “young invincibles” does get sick, and at subsidized rates, since the law bans insurers from charging more based on health status.
How long will it take for the young to figure this out, and tell all their Twitter pals how to game the Obama-Care system?
The problem is that ObamaCare depends on getting the young and healthy to sign up so it can subsidize premiums for the sick. Otherwise, the insurance pool will get sicker and more expensive, causing a premium “death spiral.”