Obamacare Will Cause Insurance Premiums To Increase $10,000 Over 10 Years

iStock_health-insurance-doctor-benefits

Recently I interviewed Rod St. Aubyn from Blue Cross Blue Shield of North Dakota, our state’s largest health insurance provider, about the impact of Obamacare on insurance premiums. Mr. St. Aubyn noted that the impact on group insurance policies, over the course of Obamacare’s implementation, would be a 15% price inflation. The impact on individually-held insurance policies would be even worse, doubling over the course of implementation according to the company’s rough estimates.

To be fair, those estimates are based on a lot of assumptions about a law that is not yet fully implemented, but they do match up with the results of a study by American Health Insurance Plans into the impact of Obamacare on health insurance premiums. They’re projecting significant increases in health insurance costs caused by the laws officially known as the Affordable Care Act.

Obamacare “imposes a new sales tax on health insurance that starts at $8 billion in 2014, increase to $14.3 billion in 2018, and will continue to increase each year,” AHIP explains to introduce the study on the Health Insurance Tax (HIT). Although the government taxes the health insurance providers, the Congressional Budget Office acknowledged in 2009 that the cost “would be passed on to purchasers and would ultimately raise insurance premiums by a corresponding amount.”

The AHIP study predicts that, on average, individuals buying insurance outside a company policy will pay an extra $2,171 over 10 years, or $5,140 over ten years if they buy a family plan. Employees at small businesses that do not self-insure will see their premiums rise $2,794 for individual plans and $6,883 for family policies. If you work for a large company your premiums will rise $2,636 for an individual policy, compared to $7,186 for a family policy.

Remember, Obamacare was supposed to make health insurance and health care cheaper and more accessible. But so far we’ve got a tax on devices used in medical care, and a tax on health insurance policies. How do such things make insurance and care cheaper?

The truth is they don’t.

Rob Port is the editor of SayAnythingBlog.com. In 2011 he was a finalist for the Watch Dog of the Year from the Sam Adams Alliance and winner of the Americans For Prosperity Award for Online Excellence. In 2013 the Washington Post named SAB one of the nation's top state-based political blogs, and named Rob one of the state's best political reporters. He writes a weekly column for several North Dakota newspapers, and also serves as a policy fellow for the North Dakota Policy Council.

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  • SigFan

    I hope the idiots that voted for Obamao go broke paying for their “free” healthcare.

    • DakotaDave

      Me too. But I’m afraid the idiots who voted for Obama will get free healthcare. It’s you and I who will go broke paying for it!

      • banjo kid

        Only people with a job will pay the fine because they sure can’t afford 10 grand a year for insurance.

  • JW-American

    The whole ObummerKare plan is setup by design for failure, it is intentional self destructive.

    Designed to first destroy the private health ins.- then after the markets collapse, the Candyman rides in on his white horse or AF-1, to save the world with single payer Gov. takeover of all health insurance.

    Prove me wrong. You cannot!

    • schreib

      It is true that the whole scheme was set up for failure. But any government takeover would be a disaster as well. Americans are not used to waiting in line and those who are able will leave the country for care and where is the incentive for doctors or nurses to go far into debt only to be a lowly paid government employee. Waits will be long and many will die waiting for care. Americans will riot first.

      • JW-American

        Certainly Americans will wind up at the end of this train wreck, just like the British systems, where children bring their ailing parents clean bedding and extra food.

        But don’t worry, when Obummers 2 daughters start having early pregnancy pains, they will be admitted to the best of the Hospitals.

    • $8194357

      ( it is intentional self destructive.)
      Give JW the cupie doll…10X
      It is what social justice critical therory and all its
      subservient soviet satelite cause/group ideologies
      were ‘created’ for…
      To take down a
      “patriarchail rule of Judeo/Christian rule of law culture”
      and enslave its peoples….

  • Thresherman

    Yet the dumb Demies think that calling it Obamacares is apt description. Since they are so great at wanting others to pay for things, maybe they should then pay for our share of this wonderful boon to the nation.

  • Stuart

    Obama stated insurance will go down..and I’m going to follow him over the cliff on that statement. I love the pied piper!

  • banjo kid

    Then there will be no health insurance for any one only fines to pay if they don’t have it.

  • banjo kid

    Was that increase to or will it rise to ten thousand?? The head line sort of indicates it will go up another ten grand .

  • schreib

    Obamacare sucks along with Obama himself. Even the communists call Obama a communist.

  • kevindf

    How will all the stoned slackers be able to pay for this?

  • $16179444

    LOL – and widdle Hanni was so excited to tell us all about how his coverage doubled. you fool.

  • BBantam

    This will be a very tough examination for everyone. 47 million uninsured for health costs are now covered. The source of the money is where? Are there any math majors in our midst?

  • $8194357

    Daniel cared not for the kings decree,
    but trusted God to set him free……
    He prayed to God in the morning, noon, and night…

    For a ‘liberal socialist’?
    God IS state…the kings ideologies his religion…

    http://www.youtube.com/watch?v=98jNS8MmEqw

  • Ima Tenther

    You missed the tax on pharmaceutical companies, too.

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