Republicans Have an Obamacare Replacement.

[Liz]

This wonkblog post talks about the proposal put forth by two GOP senators, calling it "arguably the most complete Obamacare replacement plan offered by their party to date."


Republicans have an Obamacare replacement. Economists will love it, real people won’t.

 

[houcoogster]

I read this far and stopped. This will go absolutely nowhere. By the way, I hold a Degree in Economics and I don't love it.

"The Republican proposal would do this in a more limited way: It would end pre-existing conditions limitations for those who remain continuously insured. That means if you lost your job and health insurance, and immediately purchased a plan on the individual market, your insurance company could not use your medical history to set prices. If your coverage did lapse, however, there would be the possibility of facing underwriting fees when purchasing an individual plan."

 

[timsip]

I don't hold a degree in economics and I do like it a hell of a lot better than what we have now [he said tongue-in-cheek]. Remember this plan expands the 3:1 to 5:1. Also, by the time this could even be law of the land, supposedly the majority of Americans will have been insured for at least 18 months, so most would still enjoy guaranteed issue. There is nothing that prevents actuaries to account for the pre-existing condition portion of this law; I assume many of them too have a degree in accounting. I don't see this law as bringing premiums back to pre-Obamacare rates for all, but I do see it as bringing premiums much lower than Obamacare.

On top of that, the expansion of the HSA rules is a big win for all compared to the restrictions place on HSAs by Obamacare.

With that said, all proposals have flaws, but I don't think the CARE Act has the self-implosion level flaws that Obamacare does. It also isn't intended to put all agents out of business.

 

[cadylou]

It really doesn't look like a "new" proposal, but a modification of O-care. I think it holds some improvements vs. what has been rolled out to date. It's just too bad that this type of back & forth wasn't occurring in a real sense in the 3 years prior to the bill being implemented . . . .

 

[unic.consulting]

I have to admit I like this plan better than most of the alternatives I've heard. Hopefully parts of it (the 5:1) will pass. The main problem I have is the pre-existing condition penalty being used to lure people into continuing plans. The young, healthy people that don't want insurance under O-care aren't going to be any more likely to pick it up with the new plan because they "might get sick in the future". That isn't even going to cross their mind until it's too late.

 

[timsip]

I have to admit I like this plan better than most of the alternatives I've heard. Hopefully parts of it (the 5:1) will pass. The main problem I have is the pre-existing condition penalty being used to lure people into continuing plans. The young, healthy people that don't want insurance under O-care aren't going to be any more likely to pick it up with the new plan because they "might get sick in the future". That isn't even going to cross their mind until it's too late.

And that is their choice. The whole point is that those that choose not to will not be fined come tax time either. This puts the consumer choice back with the consumer.

 

[HealthGuy]

This repub alternative is going nowhere...NOWHERE so its a non factor, next.

 

[PRIYNotYou]

Is this a good time to start marketing Heath ins and supplemental health products?

 

[timsip]

This repub alternative is going nowhere...NOWHERE so its a non factor, next.

You seem pretty certain. Any reason this won't be a big part of the election year in your opinion? Sure it won't pass Obama's desk or give the GOP a super majority in the Senate, but 2014 is only half of the equation.

 

[unic.consulting]

And that is their choice. The whole point is that those that choose not to will not be fined come tax time either. This puts the consumer choice back with the consumer.

How is the choice not with the consumer now? S/he chooses whether to buy insurance or pay a tax. Honestly, I think being penalized "now" instead of "if I ever get sick" is more likely to get young people to sign up for insurance, thereby reducing the cost for everyone. My guess is that after the first penalty tax, a lot more young people are going to decide to get insurance.