Obamacare will kill off some existing health plans

Cheap, no-frills insurance that doesn't cover medication, maternity or mental health services will get the scalpel in 2014.

By Jason Notte Apr 3, 2013 2:54PM

Medical doctor (copyright Sean Justice/Corbis)Know that health care plan you just signed up for? Don't get too attached.


The Affordable Care Act mandate most commonly known as Obamacare has some tight stipulations that, CNN says, are forcing health care companies to rip up most of their current plans and draft new ones that comply. According to a University of Chicago study, just about half of the individual health care plans currently on the market won't cut it once key provisions of the Affordable Care Act kick in next year.


A handful of existing plans will be grandfathered in if members have been enrolled in the plan since before the ACA passed in 2010, and the plan has maintained steady co-pay, deductible and coverage rates. But plans that don't match that description are just going to flat-out disappear in 2014 when rules requiring enhanced coverage go into effect.


About 15 million Americans, or roughly 6% of non-elderly adults, buy individual health care coverage. Starting this fall, they'll be able to shop for and enroll in health insurance through state-based exchanges. That coverage takes effect in January and, by 2016, some 24 million people will get insurance through the exchanges, according to Congressional Budget Office estimates. Another 12 million will continue to get individual coverage outside of them.


Both groups will be affected, as new plans will be required to cover essential services including medication, maternity and mental health care, which many current plans don't. The insurers in the Blue Cross Blue Shield Association, for example, are preparing four tiers of coverage for next year. On the high end, plans with the steepest premiums will require only 10% out-of-pocket costs, on average. In low-end plans, less-costly premiums are offset by higher deductibles and co-payments that add up to 40% of out-of-pocket costs, on average.


Starting in 2014, all Americans will be required to have health coverage or face a fine of $95 per adult or 1% of adjusted family income, whichever is more. Those with annual income four times the poverty line -- or roughly $45,000 for an individual and about $92,000 for a family of four -- will receive federal subsidies to defray premium costs.


While even low-level plans in 2014 are likely to charge higher premiums than today's budget-rate, low-end individual insurance, many customers will end up with lower out-of-pocket costs and more comprehensive coverage for their money.

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This whole thing is geared to do nothing more than take more middle class money to support the do-nothings and lifetime welfare recipients.....Oh, and bankrupt the USA.....to bring it to it's knees.....in the name of social justice......as pay back to the white man for slavery and crap like that.................I could go on but I have to go back to work to support you know who.
Apr 3, 2013 3:36PM
Apr 3, 2013 3:31PM
Did I read right that you can get a subsidy to help you buy insurance if you don't make more than $92,000 per year?  Well, I guess all of you shysters were right....Obama has made your insurance "free."  "Free" as in someone else will pay for it for you.  The march to socialism must be stopped.  Come on over and have some tea.
Apr 3, 2013 4:03PM

So when Obama said "if you like the plan you are on, you can keep it", that was a lie?


And when he said there will be no new taxes on the middle class, but now we will be "fined" (taxed) if we don't buy insurance, so that was a lie?


And when he said health care costs would go down, but we will now be paying higher premiums, that was a lie?


Of course they were all lies, and the idiots that voted him back in, deserve the presidential screwing they're going to get. 


Apr 3, 2013 3:55PM
That's right Obama is killing us. Thanks to all who voted for this fool, hope you get hit the hardest!
Apr 3, 2013 3:20PM
Apr 3, 2013 3:56PM
Most of you wanted this and voted accordingly so now we are shafted across the board except the ones on welfare and the illegal's
Apr 3, 2013 3:56PM
Bottom line, Obamacare was forced down our throats.  Having said that we had a chance in 2012 to make things right but the low information crowd stayed home.  Mitt was not the perfect candidate but he would have caused this abomination to go away.  Rally the troops for 2014 and 2016--it is our only chance to set things right.
Apr 3, 2013 4:07PM
Well Nancy, I guess we finally got around to finding out what's in it.  Thanks for nothing Bitch!
Apr 3, 2013 3:55PM
And that bi=*h on the  front doesn't have to use Obama care. Those in congress have their own health plan.
Apr 3, 2013 3:56PM
So for say healthy young people who don't need extensive healthcare just catastrophic coverage they get the shaft. Thank you President Odumbo. Worst f'n president in history.
Apr 3, 2013 3:57PM

Looks like Obama slipped the American people another conspiracy under a BS cover story via Nancy "The wicked Witch of the West" Pelosi and Harry Reid.

With 2 names we can officially call it a Conspiracy

Apr 3, 2013 3:40PM

 I just want good insurance for big things. So much is being added to make medical insurance a maintenance plan that premiums are just going to go far higher in cost. The unaffordable care act did nothing to bring cost of care down hence we will just pay more and more as insurance companies hit their spending targets not savings targets


Apr 3, 2013 3:53PM
$92K a year is eligible for subsidies now?????? WTF????  And what's cheaper, paying insurance premiums per adult or the fine of $95 or 1%???  This fixes NOTHING.  People making close to 6 figures a year will now qualify for "welfare".
Apr 3, 2013 3:38PM
All insurance plans are geared for the "House" to win. If it means you file bankruptcy or die rather than them paying up and taking a loss, then you should consider yourself broke, or dead.
Apr 3, 2013 4:09PM
Apr 3, 2013 4:19PM
Obamacare is the most expensive and worthless program every forced on the citizens of our country.  Even the dumbest democrat who voted for the Socialist in Chief will soon realize Obamacare is a huge mistake. 
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