‘Free’ Obamacare Not Anywhere Near Free, Especially For Young Adults

During his first campaign for the presidency, Obama promised that his health reform plan would “bring down premiums by $2,500 for the typical family” by the end of his first term. Well, his first term is up, a new one is beginning, and health costs have actually risen for the average American family.

And, according to Forbes, Obamacare isn’t going to be as “free” as it was made out to be. Especially for young adults.

At the end of 2012, health care was more expensive than in 2008, when Obama made his original promise. Premiums have not decreased by the declared $2,500, rather, they have increased by an average of $3,065 per typical household.

And as Obamacare takes effect during the president’s second term, premiums are anticipated to rise even more.

Mark Bertolini, the CEO of Aetna, warned that many customers would face “premium rate shock” as Obamacare takes effect, according to Forbes contributor Sally Pipes. Aetna is the third-largest health insurer in the country. Bertolini allegedly predicted that unsubsidized premiums would rise 20 to 50 percent.

Many small businesses have allegedly already had problems with the new Obamacare system, adding unnecessary taxes to medical products, and cutting workers’ hours.

Generally, it is the elderly who are charged more for health care premiums, since those in an older age bracket tend to need more expensive medical care. With Obama’s proposed “free health care for all,” however, the youth of America will be paying more out of pocket for health care.

Because Obamacare includes as “community rating” provision that restricts how much insurers can charge people based on age, the young will end up paying more to cover the more expensive costs of the elderly. Essentially, young adults will be subsidizing the coverage of older individuals who require more expensive medical care.

And the increases won’t go unnoticed. Bob Laszewski allegedly reported that young adults should expect “their premiums to double thanks to Obamacare’s rules.”

Summarily, the majority of the population, including small business, remain confused about what Obamacare will really entail. And, if it was touted as “free,” why is it costing so much?