Wednesday, March 24, 2010

Obamacare: What the Future Holds

Maybe it doesn't make sense to carry health insurance anymore.  You could potentially save money by waiting to buy insurance until you get seriously ill.

http://econlog.econlib.org/archives/2010/03/obamacare_what.html

It provides "immediate access to insurance for uninsured individuals with a pre-existing condition," creating a big adverse selection problem with one swoop.  The provision "ends when Exchanges are operational" in 2014.  But beginning in 2014, "Health plans can no longer exclude coverage for treatments based on pre‐existing health conditions."  So apparently consumers will be free to play "Heads I win, tails I break even" from now on.

Posted via email from The Blue Pelican

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