Tuesday, February 18, 2014

A CHANGE IN FOCUS



The Courier News carried an article on Saturday’s first page about the State’s youths not flocking to health care plans.

Surprise! after all the government spinners have been giving statistics on how great the improvement in the involvement of the 17 to 32 age group in the plans  has been  the last few months. 

However some statistics reported have indicated that less than 25% of that age population have taken advantage of the exchanges. Undoubtedly a close examination will show that this probably represents those with preexisting problems.
Since this year the tax for not being insured is only $350.00 (10%) for someone making $35,000.00 a year; why would anyone spend $2856.00 plus any plan copay for insurance that includes a from the top a $2350.00 deductible. That is a potential outlay of $5,200.00 before the insurance would partially pay the costs. And the plans copay amount is greater than any of the other plans.
The most expensive plan’s (Platinum) outlay would be just $5898.00 including the $750.00 deductible. What is not appreciated is with most insurers the copay is lower the more expensive the plan.
Even though the numbers quoted are generic since different insurers set differ premiums for similar level plans these examples indicate why the “never go to the doctor” wellness group have not bought into the program.
There is no incentive for this group to buy insurance
The majority of the insurance companies who offer plans in various exchanges have indicated that they will lose money this year.  Unless there is a tremendous government subsidy to the carriers; the net results will be a major increase in premiums next year.
Incidentally it has been reported that there is another aberration in the figures being released about the numbers of uninsured signees for exchange offered programs. No correction is made to account those that lost their coverage because the plan did not meet the stated ACA requirements.
 It has also been reported that between 20 to 30% of those who signed for an insurance plan never met even with the extended deadline line have failed to pay their first premium. It is believed that these represent duplicated application during the initial fiasco.
I will skip the Medicaid subsidy payments at this time suffice to say that in many cases even with them the individual’s premium is greater than that of their cancelled plan.
According to the NY Times;” The health law is projected to result in a voluntary reduction in the work force equal to 2.5 million full-time workers, according to the Congressional Budget Office, not two million fewer jobs”
Full time workers are those that work 32-not 40- hours a week. That would be 4 eight hour shifts a week. One worker could efficiently be replaced. Since there are 168 (work) hours around the clock (3 shifts) per week; instead of 5.25 workers covering that time on a 4 day 8 hour shifts per week it would take 7 to do 8 hour shifts per week. Companies will do that in order to reduce the mandatory insurances they must offer.
 
I will next comment on the availability of care; tomorrow.


6 more days until DAWG Day.



2 comments:

  1. Hooray for DAWG Day!

    ReplyDelete
  2. Thanks, Doc. Your blog clarifies a bunch of things for me. I appreciate that.

    ReplyDelete