Health insurance is taking a mighty turn for the worse after this ill-fated attempt at "affordable care" by the Obama administration.
Things are looking very bleak indeed after Thursday's Moody's rating downgrade of the outlook for inurance industry from "stable" to "negative".
The downgrade was put in effect because of “ongoing unstable and evolving environment,” as the Obama administration fumbles and flails, imposing “new regulations and announcements that impose operational changes well after product and pricing decisions were finalized," according to the New York Post.
This is due to the slow implosion of Obamacare and its ravaging of the health care industry, as well as the recently revealed Section 1342 of the Affordable Care Act, which demands the federal government (read: taxpayers) reimburse losses suffered by the insurance companies that are written into the Act and selling their policies cheaply through Obamacare.
Section 1342 will reimburse losses accrued through 2016. You know, the date of the next election. This is what Sen. Marco Rubio so accurately described as the law's "dirty little secret". This thing didn't come to light until the outrage last fall over Obama's "if you like your plan, you can keep your plan" fiasco. It most likely wasn't intended to come to light at all. Until 2016.
Secretary of Health and Human Services Kathleen Sebelius then grudgingly revealed that the Obama administration had never once tried to estimate what the guarantee to insurance companies on the Obamacare train could cost us, the taxpayers. How considerate! Basically, unless at least section 1342 is done away with, we could be on the hook for a bailout of Obama's own giant failure.
This will keep Obamacare going long enough for the free market to die out, leaving healthcare in the feeble hands of our government with no other option to be had and stranded way beyond the turning point.
This downgrade is coming on the heels of the latest of many snafus with Obamacare, which has parents and children separated, as parents qualify for plans through the market place, but children are automatically shuffled to medicaid programs. There is no way to get them back, either, according to the AP.
"The children are getting stuck in this spot where we've enrolled the parent, but we can't bring the children back on the family plan," Maria Proulx, who is the senior legal counsel for Anthem Blue Cross and Blue Shield of New Hampshire said.
This was the experience of Russel Clouden of North Port, FL, "Based on your income, they'll separate your kids from your primary policy and they shift them off to Medicaid or Healthy Kids and there's no way you can bring them back. I'm kind of in limbo with her because I'm just hoping she doesn't get injured or sick."
Yeah, we're all kind of in limbo here, hoping this gigantic mess doesn't bring complete ruin on us and our children. Time will tell.
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