The Patient Protection and Affordable Care Act (PPACA), the legislation that created ObamaCare, is failing miserably in its attempt to make healthcare affordable and, in fact, is making it even more expensive than it was before, executives told the House Subcommittee on Health, Employment, Labor, and Pensions during a May 31 hearing.
“There’s no question the PPACA has, to this date, bent the health insurance cost curve north, not south,” Edward Fensholt, senior vice president of Lockton Companies, LLC, the world’s largest privately held insurance brokerage and consulting firm, told the subcommittee. “As additional taxes, fees and mandates on employer-based health coverage come on line, we fear the health insurance affordability forecast will continue to deteriorate.”
Fensholt pointed to a number of ObamaCare mandates already in force that have increased employers’ health insurance costs by “2–3 percent.” Among these are requirements that health plans cover "children" to age 26 on their parents’ plans, ignore preexisting conditions when covering children, eliminate lifetime and some annual benefit caps, and cover various preventive services. In addition, he maintained, a new rule requiring employers to offer the same level of health coverage at the same cost to all employees will likely become so expensive that many “employers will simply have to terminate their existing group coverage” — leaving all their employees, rather than just some, uninsured.
Looming PPACA mandates are only expected to make matters worse, according to Fensholt.
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