*Please Note: Time Change for Hearing
WASHINGTON, DC – Republicans on the House Energy and Commerce, Senate Finance, and Senate Health, Education, Labor and Pensions committees today released a joint report on “The Price of Obamacare’s Broken Promises.” The report, which is based on a compilation of over 30 studies and analyses, outlines estimated premium increases for all 50 states that will result from the rigid mandates and price controls imposed by the president’s health care law.
Obamacare Projections Show Massive Premium Increases
In the case of young adults, premium increases will be even more painful than those imposed on the population broadly. Recent college graduates with entry-level jobs who are struggling to pay off student loan debt could see their premiums increase on average between 145 and 189 percent. Some studies estimate young adults could experience premium increases as high as 203 percent. Any increase, let alone tripling current costs, could break the bank for young adults who have just started out on their own.
Why Americans Will Pay More Under Obamacare
Price controls and requirements to purchase government-approved plans are the lead contributors to more expensive premiums. The law also imposes $165 billion in new taxes and fees on plans, drugs, and medical devices that will be passed onto consumers in the form of higher premiums and prices.
Repeating History’s Costly Mistakes
In the mid-1990s, eight states — Kentucky, Maine, Massachusetts, New Hampshire, New Jersey, New York, Vermont, and Washington — enacted Obamacare-like “reforms” such as guaranteed issue and community rating in their insurance markets. As a result, the residents of these eight states faced unaffordable premiums and reduced choices. For example: In 1993, a 30-year-old male and female in New York paid, on average, annual premiums of $1,200 and $1,800 respectively. One month after passing Obamacare-like reforms, premiums skyrocketed to $3,240. For some, premiums increased by 170 percent.
The Energy and Commerce Health Subcommittee hearing on March 15, 2013, will now meet at 9:00 a.m. in room 2123 of the Rayburn House Office building to discuss the issues raised in the report. For more information, click here.
