Senate Republicans yesterday decided to include in their tax reform plan a provision to eliminate the Obamacare mandate that forces people to buy health insurance or pay a penalty.
Some key facts regarding this move:
- About 6.5 million taxpayers paid a fine in 2016, according to a January letter sent by IRS Commissioner John Koskinen
- Repealing the mandate frees up about $338 billion over a decade, according to an analysis by the nonpartisan Congressional Budget Office
- a repeal would bring big savings because government spending on subsidies to help people afford coverage would plummet: 13 million fewer people would have health insurance in 2027
The number of people who would drop health insurance without the mandate is in dispute, but this is certainly a pleasant surprise that could strike a major blow to Obamacare. In a free society, citizens are not forced by the ruling class to purchase a good or service under threat of penalty.
The political danger of this move, however, is this:
- without a mandate, millions of people will drop insurance, in no small part due to unaffordable premiums that have ballooned substantially under Obamacare
- Many of those dropping insurance will be younger and healthier people; leaving the pool of insured to be older and sicker – this will drive up premiums even further
- the increased premiums cause things to get worse, and cries for a “single-payer” solution to healthcare may get louder
Without other provisions to head off the premium spiral, eliminating the mandate could backfire in the long term.
“The number of people who would drop health insurance without the mandate is in dispute, but this is certainly a pleasant surprise that could strike a major blow to Obamacare.”
Dear millions, we hope you have a pleasant day…just don’t get diagnosed with cancer or have an accident.
Sincerely,
NCCivtas
Dear Tax Livestock…er Citizens,
Obey your rulers by purchasing health insurance your rulers designed for you in order to handsomely reward the health insurance and pharmaceutical lobbies, or you will have more of your justly earned property taken from you under threat of being locked in a cage.
Sincerely,
George Zeller
In Western Civilization Brian, America is the only country without National Healthcare. Does Brian even realize that his ideas are contrary to Western Civilization?
True Healthcare Reform and true Tax Reform are impossible with every member of congress bought and paid for by Lobbyists money and Wealthy donors. It was that way in 2009 when the ACA was rolled out, it is that way today.
If you are one that’s paying for the ones that don’t pay for Obamacare I am sure you are happy with the increases you have seen.My wife had Obamacare,at first it was 247 a month,then it went to 415 a month,then it went to 726 dollars a month.Then they said she made to much on her pension she would have to look at the private insurance.Wonderful news since she got private insurance for 510 dollars a month with a 2500 dollar co pay,as opposed to 3500 co pay with Obamacare.Scott and George,Obamacare only works if you don’t or didn’t.