When selling ObamaCare to the nation, Obama repeatedly claimed that the annual cost of health insurance for a family would drop by $2,500. Instead the yearly cost of health insurance for a family is up by $3,000 on average. The IRS now estimates that the cheapest health insurance plan available in 2016 for a family will cost $20,000 for the year.
Now Obama’s signature initiative and the cost of health coverage for millions of Americans were cast into doubt after two federal appeals courts issue opposite verdicts on whether the government can subsidize policies through federally run insurance exchanges. Some 4.5 million Americans who qualified for subsidies when they signed up will be able to keep their benefits while the court system sorts out the law. The subsidies for policies purchased through state-administered exchanges are not under challenge in the courts cases. Thirty-six states elected to not set up state-administered exchanges so the federal government set up exchanges in their place. One court says the federal government can pay the subsidy and the other court stated they cannot – it is against the law – only the states can pay the subsidy. If people are unable to receive the subsidies, the policies will be cost prohibitive. Now it is a wait and see proposition.
Obama lied to Congress and the American people about the true cost of ObamaCare. His statement was “that ObamaCare would cost less than $1 trillion over ten years. It is known that ObamaCare will cost at least $10 trillion when you factor in the cost to the states, the cost of the individual mandate, the cost of increased health insurance premiums, the $716 billion ObamaCare steals from Medicare, the 21 new taxes and tax increases contained in ObamaCare, and the increased cost to businesses complying with the mandates.
When the government is in control of anything the costs always skyrocket immediately because there are no free-market competitive pressures to keep costs down. This is why socialism never works. Example of departments of the government who are continuously in debt: VA, Post Office, IRS, and you name any department under the government’s claws. The reason is due to corruption and ethical misbehavior. A good example is when one hammer costs $75! Enough said. We know the drill!