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TheRealMafoo on 22 March 2010
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TheRealMafoo said:
NightDragon83 said:

Well, The Big One passed... it's going to be very interesting to see how everything else falls into place going forward, with states deeming the bill "unconstitutional", and Republicans looking to take this matter straight to the Supreme Court.

I have really mixed emotions about all of this... on the one hand, I know we do need reform in the insurance industry, and that we must do more to bring down the cost of healthcare for everyone. I'm lucky enough to still be under my parents' insurance plan, otherwise I'd be uninsured since I'm only working part time right now as my job had to cut back over the past year till we get back on our feet, and that included dropping health insurance coverage....

But not like this... not when the federal government swoops in and can potentially take over 1/6 of the entire US economy in one swift power grab in an attempt to solidify a permanent Democratic majority by making a good chunk of the nation dependent on the government for their healthcare. And I'm REALLY not a fan of the government forcing us to buy insurance, under penalty of fines and/or jail time, and I don't see how this plan is going to make things more affordable for the average American in the long run, because while they may not be paying higher premiums, they'll be paying for it in other areas (read: higher taxes and cost of living).

We will be paying higher premiums.

Insurance companies can't cap costs, can't deny people with pre existing conditions, and can't charge one person a ton more then another.

I will set up a senario, so you can see what I mean.

Let's say it cost Company X $4000 a year each to insure 10 people. There outgo is estimated at $40,000. Add cost of running the place, and profit, and they might charge all 10 people $4,500.

Now, let's say someone with cancer wants insurance, and it costs $60,000 a year in services. They have to take him, and they can not charge him more then twice what they charge everyone else. So, now the insurance company has 100,000 in outgo. This means for the guy with cancer, they will charge him $17,100, and for the other 10, they will charge $8,800.

So because the insurance companies are about to incur huge expenses that they can not charge back to the consumer who is causing the cost, they must spread that cost to everyone. 

Just to make a point here.. this is not bad for the healthcare companies. In fact it's great. They are going to make a profit. So before, in my senario, they were only making a profit on 40,000. Now they are making a profit on 100,000. Better for them.

The big winner in all this, is insurance companies. The same people Obama vilified in getting this passed.