The Democrats never included the Republicans in framing the Affordable Care Act and passed it without reading it. Now their political action is having consequences. They cannot escape full and complete responsibility for what may be one of the most infamous laws in American History.
Former Democratic President Clinton gave a warning today about how the Affordable Care Act may NOT be so affordable. He pointed out that some companies provide health insurance just for their employees and not their families. But the law requires all individuals to have health insurance. Families, especially those of low wage earners, will be faced with either buying the health insurance for each family member through the exchanges or paying the penalty for each family member not covered by health insurance. If the latter occurs, there will be millions NOT covered by health insurance according to Clinton; furthermore, he stated that the health insurance premiums and/or the penalty could take as much as 9% of wage earners take home pay.
Many people are under the impression that they will get free health insurance through the exchanges. NO! A tax credit will be granted to most people based on estimated income for 2014. Health insurance premiums are tied to what is called the “second-lowest cost silver plan.” The exchange plans are named after metals – bronze, silver, gold and platinum. Despite the names, all of the plans grant the same benefits. It is a matter of income.
People who give a low income estimate for 2014 will get a smaller tax refund in 2015. If people overestimate their income, they will get a smaller tax credit. In theory, that is how it is supposed to work.
Let’s look at the bronze plan because it demonstrates why ObamaCare health insurance is not free. The bronze plan has the lowest premiums but only covers about 60% of medical costs. The remaining amount must be paid by the policyholder up to a cap of $6,350 for an individual or $12,700 for a family. So there are out-of-pocket expenses for low-income people. This could be very costly especially for families where the annual income is $35,000 or less according to Bill Clinton.
Millions of ObamaCare supporters are going to be shocked at the personal cost of this massive health insurance program. They ignored the warnings and blindly accepted what Obama said. Now they will pay the penalty for their ignorance and denial.