Multiple problems are emerging about ObamaCare that make it an obnoxious law to many Americans. According to an Associated Press-NORC Center for Public Affairs Research survey, those earning $35,000 or less say they are worse off now. 74% reported they cannot get ahead financially. 71% worry about paying their bills which includes unexpected medical expenses. Mark Zandi, chief economist at Moody’s Analytics wrote, “Their real wages are going nowhere. And this is a group that has more debt, fewer assets, is less likely to own a home or stocks and with little capacity to absorb higher gasoline prices.”
This lower income group is supposed to be one of the groups that would benefit from ObamaCare; however, they view ObamaCare as another expense they cannot afford. Their concern is legitimate because insurance premiums, contrary to what Obama said, have increased 20 to 30%. They are expected to go higher because ObamaCare has requirements that can only be covered with higher premiums; therefore, it is a burden because it reduces their take home pay.
Young healthy adults are also in for a shock. Supreme Court Justice Alito sounded the alarm when he wrote that this group spends on average about $854 a year on health care. ObamaCare is expected to cost them around $5,800 a year. The law, according to Alito, “… is forcing these people to provide a huge subsidy to the insurance companies . . . to subsidize services that will be received by somebody else.” The likelihood is that young adults will pay the penalty rather than pay for the health insurance because of its expense. This will reduce the revenue for ObamaCare.
ObamaCare will have a negative impact on Medicare also.
There will be about $45 billion dollars a year in cuts to Medicare over the next decade. The cuts are meant to switch funding over to ObamaCare’s health insurance exchanges. What this means for seniors is that they may have to find a new doctor because some doctors may limit the number of their Medicare patients. Or seniors may have longer wait time for appointments with current doctors who may add more patients to make up for the reduced payments from Medicare.
It was reported this week that the exchanges are having problems getting set for the January 1, 2014 operation deadline. The exchanges are supposed to help people obtain subsidies and health care insurance. Unfortunately, there are so many regulations and so little information from the federal government about how to proceed that the majority of state have opted to let the federal government run their exchanges. Those states that opted to build their own exchanges, Democratic states like, California, New York, Hawaii, etc., are way behind schedule. They are not sure they will meet the January 1, 2014 deadline.
So far many of the claims made by Obama about his signature program are not supported by the facts. Like other entitlement programs, it will probably become the biggest drain on the American economy according to a number of projections. This why Senator Baucus (D) has called it a “train wreck.”