Even HHS Secretary Kathleen Sebelius Expects Higher Health Insurance Costs

By Ray Pinard | April 5, 2013

An interesting article by Sean Hackbarth published on the Free Enterprise web site.

Champions of the Patient Protection and Affordable Care Act (PPACA) argued that the law would reduce health care costs. However, findings from the Society of Actuaries offer more evidence that the law will raise and not lower costs [emphasis mine]:

While some states will see medical claims costs per person decline, the report concluded the overwhelming majority will see double-digit increases in their individual health insurance markets, where people purchase coverage directly from insurers.

The disparities are striking. By 2017, the estimated increase would be 62 percent for California, about 80 percent for Ohio, more than 20 percent for Florida and 67 percent for Maryland. Much of the reason for the higher claims costs is that sicker people are expected to join the pool, the report said.

Even Health and Human Services Secretary Kathleen Sebelius acknowledges that many people will pay more for health insurance because of the added benefits mandated by the government. She argues that “with subsidies available to a lot of that population that they are really going to see much better benefit for the money that they’re spending.”

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