by Tom aka Rusty Rustbelt
HEALTH CARE: Obama Administration Gets Tough With Insurers
DHHS Secretary Sebelius has lambasted the private health insurance industry in a letter to the industry’s trade association (I’m not a big friend of health insurance companies, FWIW). From the letter:
“There will be zero tolerance for this type of misinformation and unjustified rate increases.”
The issue is premium increases and the cause of the premium increases.
PPACA (Obamacare) requires more lives on some policies and more coverage broadly, so no wonder premiums will be going up in the short and near term (some of us predicted this).
There is little likelihood of bending the cost curve for at least five years, as the various and numerous programs in Obamacare phase in and ramp up. And then, who knows.
Understanding that politicians must by nature take care of politics, this seems a little shrill and over the top.
Having spent the summer going through the deep dark details of PPACA, I’m working on a theory or two on how this will play out.