Every time I see another report telling us how much more the Affordable Care Act is going to cost the American people, I keep hearing the words of Rep. Nancy Pelosi telling the American people on Meet the Press last July:
“…everybody will have lower rates, better quality care and better access.”
It’s coverage that’s going down and costs going up, just as opponents predicted.
In the latest cost surge of Obamacare, the IRS announced last week that they will begin to collect $8 billion in fees from health insurance companies beginning next year. Every year, that amount will continue to increase until 2018 when it will reach $14 billion.
According to the report, the amount each insurance provider will be charged depends upon the company’s net premiums. To no surprise, the health insurance industry is saying that they will be forced to pass the cost of those fees along to their clients, meaning the average family will see a $300 per year increase in their premiums next year and up to $500 every year after that. By 2018, families could see a total increase of around $1,800 in their annual premiums compared to what it is costing them now.
The insurance industry is protesting the IRS fees saying it will cost them over $100 billion in the next 10 years. That cost will be passed on to the consumers, many of whom will no longer be able to afford health insurance. Robert Zirkelbach, spokesman for America’s Health Insurance Plan commented about the IRS announcement, saying:
“This is a new $100 billion tax on health insurance. Taxing health insurance is only going to make it more expensive.”
So far, the only positive thing that has come out of Obamacare is that it has created thousands of new federal jobs needed to fill the over 100 new federal agencies created by the Affordable Care Act, if you call that positive.
On the flip side, it is costs hundreds of thousands of jobs in the private sector as employers are cutting staff or closing their doors due to the increase costs of Obamacare. Perhaps several million Americans are being reduced to part time work so their employers do not have to provide health coverage. Millions more will see their employers drop health coverage because they feel it will be less expensive to pay the penalties than to pay for employee health plans. Those Americans that do have health coverage, through their employer or privately, have seen their premiums skyrocketing while at the same time the amount of coverage decreasing. Every day, more and more Americans are dropping their private coverage because they can’t afford it in today’s struggling economy. Hundreds, perhaps thousands of doctors in private practice are closing their doors because of the costs, rules and restrictions of Obamacare. They are either joining large medical groups or changing careers.
Obamacare has also resulted in over a dozen tax increases that are already hitting every American. Remember when President Obama repeatedly told the American people that he would not raise taxes on middle and lower income families? He lied! He knew about the tax increases in Obamacare and was hoping no one else would catch on, but guess what Mr. President, not all of us are as stupid as those who voted for you.