The Next Step After Failure To Repeal ObamaCare

Investor’s Business Daily posted an article today about the consequences of the Republicans’ failure to repeal ObamaCare.

The article states:

Many Democrats and their ideological allies are using the congressional recess to crow about the GOP‘s defeat — and dream about replacing Obamacare with a bonafide single-payer system.

Sen. Bernie Sanders, I-Vt., has promised to introduce a single-payer bill next month. “I have no illusions that . . . suddenly we’re going to see a Medicare-for-all, single-payer passed,” he said last week. “Why is the United States the only major country on earth not to guarantee health care to all people?”

Several folks within the senator’s sizeable political following have hinted that support for single-payer will be a “litmus test” that will determine whether they will get behind Democratic candidates — or primary them.

So what does single-payer healthcare mean? The Medicare for All plan that Senator Sanders introduced during his presidential run would cost $2.5 trillion — nearly double what the Sanders campaign claimed. Another study by the Urban Institute found that the plan would increase spending by $32 trillion over the next decade.

The article further reports:

Last November, Colorado voters rejected Amendment 69, a ballot initiative that would have created a single-payer system in the state, by an 80-20 margin. An independent analysis revealed that the plan would have run a deficit of $253 million in its first year — and $7.8 billion by 2028.

Bernie Sanders’s own state of Vermont experienced similar sticker shock. The plan under consideration in the Green Mountain State would have cost $4.3 billion — nearly 90% of the entire state budget.

To cover that tab, payroll taxes would have surged 11.5%; income taxes would have increased 9%. Consequently, in 2014, Democratic Governor Peter Shumlin shelved the plan, deeming it “unwise and untenable.”

The article reminds us that the way to make single-payer more economical is to ration care. That is not an improvement to the healthcare Americans received before President Obama ruined it for the majority of Americans.

The article concludes:

The median Canadian, for example, waits nearly five months to get treatment from a specialist after receiving a referral from his general practitioner. That is more than twice the wait of 25 years ago.

The United Kingdom’s single-payer system offers more of the same. At the end of June, 4 million people were waiting for care. That is the highest figure in a decade.

Is this really the path the United States wants to go down? According to a June Pew survey, only 33% of Americans think single-payer health insurance is a good idea. But that number is up 12 percentage points since 2014.

It should come back down, once Americans realize that single-payer means paying a lot more for a lot less health care.

It is long past time for the Republicans to repeal ObamaCare.

 

Why Congress Failed To Repeal ObamaCare

For seven years, Republicans promised to repeal ObamaCare if voters gave them the House, the Senate, and the White House. Last week they failed to repeal ObamaCare. What were some of the things that kept them from keeping their promise.

Yesterday CBN News posted an article about some of the things about the relationship between Congress and ObamaCare that were not widely reported.

The article reports some of that history:

In 2009, when lawmakers were debating Obamacare, Sen. Chuck Grassley, R-Iowa, put forth an amendment calling for congressional employees to subject themselves to insurance coverage under the Affordable Care Act. The amendment was unanimously adopted.

“The whole point of this provision was to make them feel the pain if it didn’t work,” Kerpen (Phil Kerpen, president of American Commitment) said in an interview Wednesday with CBN’s Pat Robertson.

One flaw in the final Senate bill was that the amendment did not include employer contributions. Consequently, when Obamacare passed, it terminated coverage that members and their staff previously had through the Federal Employee Health Benefit program, which subsidized about 75 percent of their health care plans.

…Senate Democrats met with President Barack Obama in 2013 to address this problem. After the meeting, Obama directed the Office of Personnel Management (OPM) to issue a rule qualifying both the U.S. House of Representatives and Senate as small businesses, which is a label legally only given to businesses with less than 50 employees.

Kerpen says one person filed “blatantly false documents,” which were obtained by Judicial Watch, in order to sign up 12,000 people in an exchange that should only apply to companies with 50 employees or fewer.

…When President Trump threatens to end the bailouts for members of Congress for Obamacare, he is threatening to direct the OPM to reverse Obama’s regulation allowing employer contributions to exchange plans.

If this rule is reversed, members and their staff would lose their government-funded subsidies and be subjected to paying the premiums people without employer coverage have to pay that make too much money to qualify for subsidies.

“This is mandatory work they’ve got to get done for the American people,” Kerpen said.

This is the tweet from President Trump:

I hope that the President follows through on that threat–Congress is supposed to live under the laws they pass! Insurance Companies should not be compensated for the campaign donations they make!

 

The Fourth Estate Has Forgotten Its Purpose

The purpose of journalism in a representative republic is to keep the voters informed on the issues so that they can make intelligent choices at the voting booth. The idea is that the voters will elect people who represent them and who make wise decisions. In theory that is a really great idea. In practice, it currently does not work.

Yesterday Investor’s Business Daily posted an article about some of the recent reporting by the mainstream media on ObamaCare. Now that the repeal of ObamaCare has failed in Congress, evidently the media feels comfortable reporting the truth about how bad ObamaCare is.

The article reports:

Up until last week, the Times had been reassuring its readers that ObamaCare was doing just fine. In an April story, for example, it said that “growing evidence suggests that the markets are far from collapse. Several recent analyses argue that this year’s increase was a market correction, and that a smoother market would follow in the years ahead.”

It added that “many insurers had been struggling to make money but now seem closer to breaking even.”

Another Times article from a few months back quoted Gary Claxton, a vice president at the Kaiser Family Foundation, saying that “things are getting better.”

In fact, we were told that the only reason the ObamaCare markets were struggling now was because Republican repeal threats were creating “uncertainty.”

Now the Times is telling readers that “even people who rely on its coverage agree that it still has big problems.”

Reuters, meanwhile, published a story the day after the Senate repeal votes failed, reporting that “hundreds of U.S. counties are at risk of losing access to private health coverage in 2018 as insurers consider pulling out of those markets in the coming months.” This information has been widely available for months, but was apparently of no interest to Reuters before the repeal effort collapsed.

Much of the mainstream media is now reporting that ObamaCare is unsustainable and will collapse under its own weight. So where were those stories when the votes were taken? There is a lot going on here. The Democrats want ObamaCare to fail so that they can institute single-payer, totally government-controlled healthcare. If you think that is a good idea, take a look at how it has worked at the Veterans Administration. Also consider the fact that the British healthcare system has considered denying people needed care because they were overweight or smokers or drinkers. Do you really want the government telling you how to live your life?

The Republicans (specifically John McCain and Lisa Murkowski) betrayed the voters when, after seven years of promising to repeal ObamaCare, they voted not to repeal. It is time to put the Washington elites under the same health insurance as the average American. The media does not realize what single-payer will do to them, but the Washington elite knows they can avoid the hazards of single-payer by exempting themselves (as they have in the past). If the current Congress will not create a healthcare system that covers themselves as well as the rest of the country, it is time to elect a new Congress. ObamaCare does not need to be modified–it needs to be destroyed. It was a bad idea from the beginning.

 

A Rational Solution To Health Insurance

Townhall posted an article today that contains the perfect solution to fixing health insurance in America.

The article breaks the solution into two distinct Executive Orders:

Executive Order #1: President Trump should issue an immediate Executive Order forcing every member of Congress to use the same healthcare plan as the rest of us. Let Senator McCain come off his high horse and live under the rules of Obamacare. Make every member of Congress live by same rules as the rest of us.

Executive Order #2. My gut instinct is usually on the money. I feel it in my bones. The Senators who voted against the repeal are corrupted, bribed, on the take. Senators and Congressmen are making an unimaginable fortune off of Obamacare. That’s why they are against the repeal. They don’t want to end the gravy train.

…President Trump should issue an immediate Executive Order demanding disclosure of all financial interests and ownership in healthcare related companies or stock by every member of Congress- including all family members and offshore accounts. Failure to disclose will result in a long prison term.

I think that about covers it! I have nothing to add.

The Need For New Leadership And Different Republicans In Congress

Last night the Senate voted on a bill to repeal certain aspects of ObamaCare. The Senate failed to repeal ObamaCare. The Gateway Pundit reported the story. Three Republicans voted against the bill to repeal ObamaCare–Sens. Susan Collins of Maine, Lisa Murkowski of Alaska and John McCain of Arizona. The first thing that needs to happen here is that all members of Congress and their staffs need to no longer be exempted from ObamaCare. Let’s make these legislators live under the laws they are forcing the voters to live under. The second thing that needs to happen is that the Republicans in Congress need different leadership. The third thing that needs to happen is that the three Republicans that voted against the partial repeal need to have primary challengers when they run for re-election.

According to the article, the bill to end ObamaCare that was voted on late last night included:

  • It would repeal the individual mandate, which is the requirement that most Americans buy insurance or pay a penalty. The provision was intended to help control costs by encouraging younger, healthier people to enter the market. Republicans have said it forced people to buy plans they did not want.
  • The bill would roll back the employer mandate, a similar provision that says large employers have to provide insurance for their workers.
  • The plan would expand a program that allows states to waive certain provisions under Obamacare.
  • It would suspend the medical device tax.
  • The proposal would increase contribution limits for tax-free health savings accounts.
  • It would defund women’s health provider Planned Parenthood for one year.

This bill was an extremely stripped-down version of repeal. It is a reflection on the swamp in Washington and those Republicans who are part of it that the Republicans promised to repeal ObamaCare for seven years. The promise was,  “Give us the House, and we will repeal ObamaCare. Give us the Senate, and we will repeal ObamaCare. Give us the White House, and we will repeal ObamaCare.” I guess the real solution is, “Give us a Republican Congress with integrity and a spine, and we will repeal ObamaCare. It is truly a shame that Senator McCain chose to reappear in Congress only to submarine the wishes of the American public.

Losing Health Insurance Because You Want To

Yesterday National Review posted an article about the claims the Congressional Budget Office (CBO) is making regarding the number of people who would lose their health insurance if ObamaCare were repealed.

The article states:

Do you want to repeal every word of Obamacare and replace it with nothing? CBO says 22 million fewer people would have health insurance. Do you prefer replacing Obamacare with a system of flat tax credits, in which you get the same amount of assistance regardless of your financial need? CBO says 23 million fewer people would have health insurance. Do you prefer replacing Obamacare with means-tested tax credits, like the Senate bill does, in which the majority of the assistance is directed to those near or below the poverty line? CBO says 22 million fewer people would have health insurance.

22 million, 23 million, 22 million—these numbers are remarkably similar even though the three policies I describe above are significantly different. Why is that?

Thanks to information that was leaked to me by a congressional staffer, we now have the answer.

Nearly three-fourths of the difference in coverage between Obamacare and the various GOP plans derives from a single feature of the Republican bills: their repeal of Obamacare’s individual mandate. But the CBO has never published a year-by-year breakout of the impact of the individual mandate on its coverage estimates.

So actually, a large percentage of the people who would lose insurance coverage if ObamaCare is repealed would choose to lose coverage because they would no longer be penalized for not having insurance. Basically, the CBO report is spin! There is also the matter of ObamaCare requiring people to pay for coverage they don’t need. Generally speaking senior citizens do not need maternity coverage or pediatric dental coverage. They should not be asked to pay for it!

“Don’t Throw Me Into The Briar Patch”

Joel Chandler Harris was an American author who wrote the Uncle Remus stories. Some of these stories later became an animated film by Walt Disney called “Song of the South.” One of the characters in these stories was Br’er (“brother”) Rabbit, who when captured by Bre’r Fox pleads, “Don’t throw me into the briar patch.” Of course, Br’er Rabbit has grown up in the briar patch, is quite at home there, and sees the briar patch as an escape route. So why in the world is a political blog talking about Br’er Rabbit and the briar patch? Because I believe the story of Br’er Rabbit and Br’er Fox totally explains the current healthcare debate.

Let’s look at the healthcare debacle strictly through a political lens. The best outcome for the Republicans (with a Republican President) is the complete failure of ObamaCare–rising costs, escalating premiums, denial of healthcare to senior citizens and young people, etc. Theoretically, President Trump has tried to avoid this. Had this failure occurred under a Democratic President, the solution would have been single-payer socialistic medicine. Under a Republican President, a free-market solution may be possible, but only after the total failure of ObamaCare. As premiums rise and health insurance and healthcare become more difficult to obtain, voters may get angry enough to remove from office those who had blocked the repeal of ObamaCare. I suspect that much of the Tea Party is already there. Because the Republicans could not repeal ObamaCare, it is still the Democrat’s policy. That may be exactly where the Republicans wanted it.

So where are we now in the healthcare debate?

The Gateway Pundit is reporting today that there is no possibility of repealing and replacing ObamaCare and there is no possibility of repealing ObamaCare over the next two years.

The article reports news from two sources:

From Bloomberg News:

GOP Senators Susan Collins, Shelley Moore Capito and Lisa Murkowski said Tuesday they’ll oppose a repeal of the Affordable Care Act. McConnell said late Monday the Senate would vote on a repeal with a two-year delay to give Congress time to agree on a replacement, but he could afford to lose no more than two Republican votes to advance the measure.

Repealing the law now and then hoping for a replacement “would create great anxiety for individuals who rely on the ACA,” Collins of Maine told reporters in Washington. “I believe it would cause the insurance markets to go into turmoil.” She said she would oppose bringing a repeal bill up for debate.

Capito of West Virginia said she would refuse to take up a repeal plan without an adequate replacement. “I did not come to Washington to hurt people,” she said in a statement.

Murkowski of Alaska also said she wouldn’t vote to take up a repeal-alone measure.

From the Washington Examiner:

House Republicans on Tuesday were seething with anger over the Senate GOP’s late Monday decision to pull the plug on a bill to repeal and replace Obamacare.

Lawmakers leaving the House GOP’s weekly conference meeting said feelings of exasperation and anger have set in, now that the Senate has dropped plans to vote on an Obamacare replacement bill this month.

“There is a lot of frustration, borderline anger I guess, at what really has to be described as some level of incompetence to be able to get together and get something done,” Rep. Mark Walker, R-N.C., who heads the conservative Republican Study Committee, told the Washington Examiner.

I am not sure the Democrats are celebrating the fact that the Republicans could not repeal ObamaCare–now the Democrats are stuck with a healthcare plan that is rapidly crashing.

 

When The Numbers Just Don’t Add Up

This was posted by a friend on Facebook:

This seemed like a reasonable question, so I did some research. On December 2016, CNN Money posted the following:

Nearly 6.4 million Americans have selected Obamacare policies through the federal exchange for coverage starting Jan. 1, federal officials announced Wednesday. That’s 400,000 more than had selected policies a year ago.

Under the proposed repeal and replace ObamaCare bill, the rate of growth of Medicaid will be cut–Medicaid will still grow, but more slowly. The goal is to create a program that will create a rate structure that allows more Americans to pay for their own health insurance. I am not thrilled with the current bill in the Senate, but passing it may be a necessary evil if we are to avoid single-payer or socialized medicine (which would be the result of the total collapse of ObamaCare which is rapidly approaching).

Watching The Senate Democrats Drag Their Feet

It is amazing to me that anything ever gets done in Washington. The Democrats in the Senate, led by Senator Schumer, have done everything they can to block the appointments and agenda of President Trump. Yesterday The Daily Signal posted an article on that subject that included the following chart:

The article reports:

Senate Majority Leader Mitch McConnell said Tuesday that after completing work on a health care bill to replace Obamacare, the Senate will turn to a defense spending bill and “the backlog of critical nominations that have been mindlessly stalled by Democrats.”

“In order to provide more time to complete action on important legislative items and process nominees that have been stalled by a lack of cooperation from our friends across the aisle, the Senate will delay the start of the August recess until the third week of August,” McConnell, R-Ky., said.

During a press briefing Tuesday, White House deputy press secretary Sarah Huckabee Sanders noted McConnell’s announcement and accused Senate Democrats of “looking to set a record for pointless and dangerous obstruction.”

Citing the Obama administration, Sanders added:

While more than 90 percent of the previous administration’s nominations were confirmed by a voice vote, Democrats in the Senate have allowed only approximately 10 percent of President Trump’s nominees to be voted on in that way.

We’re coming up on the August recess of President Trump’s first term, by which point the Senate [had] confirmed 69 percent of President Obama’s nominations; less than a month out from that same point, the Senate has confirmed only approximately 23 percent of President Trump’s nominees. These numbers show the Democrats’ true colors.

I am not a big fan of Senate Majority Leader Mitch McConnell, but he is right about this. Even a blind squirrel occasionally finds a nut.

The Truth About The Current Healthcare Bill

Yesterday the Independent Journal Review posted an article about some of the lies we are being told about the current healthcare bill. I don’t support the current bill, but I resent the fact that lies are being used in an attempt to discredit it.

The article explains how the numbers are being twisted:

The current repeal and replace bill is a bad bill. ObamaCare needs to be fully repealed and the government needs to get out of health insurance. Let the people who understand actuary tables run healthcare. The only provision the government needs to make is to insure that high-risk pools are set up (and made affordable) for the people that need them. Healthcare should be available across state lines, tort reform is needed, and tax credits given to lower-income families to help pay for insurance. Otherwise, the government needs to let the free market to work.

 

Remember The Promise

“If you give us the House, we will repeal ObamaCare. If you give us the Senate, we will repeal ObamaCare. If you give us the White House, we will repeal ObamaCare.” How about you actually keep your promise and vote to REPEAL ObamaCare. Then you can work to replace it! Otherwise, let’s just throw the whole group out, get a new group, and keep doing that until ObamaCare is repealed.

Yesterday The Federalist Papers posted an article that may be an indication that I am not the only voter who feels that way.

The article states:

It was at a ritzy gathering in a Rocky Mountain resort over the weekend that major GOP donors aligned with the Koch brothers made their concerns known.

Texas GOP donor Doug Deason said he and ten other big Dallas donors are withholding any contributions to the Republican Party until they can actually get something accomplished.

Until then, his “Dallas piggy bank” is closed for business, LifeZette reports. Specifically, Deason wants to see movement on replacing Obamacare and significant health care reform.

“Get Obamacare repealed and replaced, get tax reform passed,” Deason said, according to the Associated Press. “You control the Senate. You control the House. You have the presidency. There’s no reason you can’t get this done. Get it done and we’ll open it back up.”

Deason said he has already said no to two prominent House members – both aligned with the so-called “Freedom Caucus.” Reps. Mark Meadows, from North Carolina and Ohio’s Jim Jordan asked him to hold a fundraiser and he turned them down.

“I said, ‘No, I’m not going to because we’re closing the checkbook until you get some things done,’” Deason said, adding that he even pressured two dozen other Texas-based donors to refuse to partner with them on the fundraiser.

This may be the only way to get things accomplished–cut off the donation money from the big donors. The danger in that is that those of us who are conservatives may not always be on the same page as the big donors.

I have reached the conclusion that ObamaCare may be here to stay. If that is in fact the case, the Democrats are no longer the only ones to blame. The lack of spine in the Republican Party and the desire to thwart Trump by the Washington establishment will also be responsible for the end of private healthcare in America.

Fake News Abounds About The Repeal/Replace ObamaCare Bill

I have stated before that I do not support the current bill to repeal and replace ObamaCare. I believe that what we need is straight repeal. Then we need to teach Congress about the free market and let them apply those principles to healthcare and health insurance.

On Friday, Investor’s Business Daily posted an article about the current repeal-replacement bill on ObamaCare.

Here are some observations from the article:

Look at any story about the Senate health bill, and you’ll see words like those describe its supposed cuts to Medicaid. What if we told you there are no such cuts?

First, the Senate bill doesn’t change Medicaid at all for three years. That means spending on the program will continue to grow, just as it is slated to now — at an annual 5% clip — until 2021.

What does that mean in dollar terms? Under the Senate’s “shredding” reform, Medicaid’s budget in 2021 will be $85 billion bigger than it is this year, and $209 billion (or 79%) bigger than it was in 2013.

What about after that? Under the Senate plan, there’d be a three-year transition to a new way of financing Medicaid.

And then, starting in 2025 federal Medicaid spending would be capped each year, with the cap set to grow at the overall inflation rate.

If you plot annual spending out over the next 10 years, what you see is that spending is never actually cut — at least not in the sense that most people think of a spending cut. Instead, it would grow at a slightly slower rate.

Even under the more restrictive House bill, Medicaid’s budget would still climb 20% over the next decade. So growth will end up higher still under the more generous Senate version.

This is the usual game that Congress and the media play with budget issues–only in Washington could a 5% increase be considered a cut!

The article explains the problems with Medicaid:

As a result, Medicaid now consumes about 20% of state general fund spending — and it’s rising. Next year, the 32 states that expanded Medicaid under ObamaCare will see their costs climb by an additional $9 billion.

Meanwhile, a Government Accountability Office investigation found that improper payments accounted for more than 10% of all Medicaid spending last year.

And for all this, Medicaid grossly underpays doctors and provides lousy care to many of its enrollees. In California, for example, the Medicaid expansion resulted in a flood of patients into emergency rooms because they can’t find a doctor willing to treat them.

In short, Medicaid is in dire trouble, and the Senate and House bills offer smart, prudent — and relatively modest — fixes.

Clean up the fraud, and encourage people to actually get jobs that will help them obtain medical insurance. We need less people riding in the wagon and more people pulling the wagon.

Just Repeal–Don’t Replace

The current ObamaCare bill is rapidly collapsing. It was designed that way. The plan was that Hillary Clinton would get elected and we would move to single-payer (totally government-controlled) healthcare. The fact that Donald Trump got elected and isn’t playing the Washington establishment’s games is a problem for those that want government healthcare. That is one of the reasons they are trying so hard to demonize him and get rid of him.

The Washington Free Beacon posted an article yesterday about the current state of ObamaCare.

The article reports:

Roughly 41 percent of counties in the United States could have only one insurer participating on the Affordable Care Act exchanges next year, according to a new analysis from Avalere Health.

This percentage is up from the lack of participation in 2017, when roughly one-third of counties, or 33 percent, had only one insurer participating on the exchanges.

According to their count, there will be 47 counties that will have no insurer participating on the exchange leaving about 34,000 consumers with no choice.

…”In addition to the cost of premiums, insurer decisions around whether or not to offer plans in the exchanges will impact shoppers,” said Caroline Pearson, senior vice president of the group. “Consumers will see fewer choices on the exchange again in 2018, with some counties at risk of having no options.”

This is not what success looks like. ObamaCare has been a failure. The best replacement would be to let the free market rule. Tax credits could be used to help lower income people afford health insurance, but the free market would make healthcare more affordable for everyone.

There are a few principles that would reform healthcare in a way that would benefit everyone–portability across state lines, tort reform, high risk pools for people with pre-existing conditions, and letting the companies with the actuary tables determine rates. The government does not have a stellar record when it comes to running things. There are very few government programs that are not wasteful, inefficient, and expensive. We don’t need another government money pit. It’s time to repeal ObamaCare. Then the debate on its replacement can begin.

Are The Republicans Trying To Lose Their Majority In Congress?

“The argument that the two parties should represent opposed ideals and policies, one, perhaps, of the Right and the other of the Left, is a foolish idea acceptable only to doctrinaire and academic thinkers. Instead, the two parties should be almost identical, so that the American people can ‘throw the rascals out’ at any election without leading to any profound or extensive shifts in policy” (Georgetown University Professor Carroll Quigley, Tragedy and Hope, 1966.)

It is my opinion that the above quote perfectly describes the ObamaCare repeal bill the Republicans are attempting to see to the American people.

Yesterday Reason Magazine posted an analysis of the proposed bill. We all remember the Republicans promising the voters that if we would give them the House, they would repeal ObamaCare. Then they promised the voters that if we gave them the Senate, they would repeal ObamaCare. Then they promised the voters that if we gave them the White House, they would repeal ObamaCare. Now they are trying to sell us a bill that does not repeal ObamaCare. The bill continues the bad policies that have caused so many insurance companies to opt out of ObamaCare. The bill continues the bad policies that have caused health insurance premiums to rise sharply and government expenditures on ObamaCare to skyrocket. This bill will ensure that a large number of Republican Congressmen running for office in 2018 will be voted out of office. The bill should be called the ‘give Congress back to the Democrats’ act.

The article at Reason Magazine explains:

In other words, it is exactly what critics predicted: a bill that, at least in the near term, retains weakened versions of nearly all of Obamacare’s core features while fixing few if any of the problems that Republicans say they want to fix. It is Obamacare lite—the health law that Republicans claim to oppose, but less of it. It represents a total failure of Republican policy imagination.

To understand the Senate plan, it helps to recall Obamacare’s underlying framework. The centerpiece of the law was a reform of the individual market, intended to give those who do not get coverage through work or a federal program access to subsidized, regulated coverage. The law created a new federal subsidy, based on income, for lower- and middle-income households to purchase health insurance. It set up federal rules requiring insurers to sell to all comers while limiting their ability to charge based on health history. It mandated that all individuals obtain health coverage or pay a tax penalty. And it erected a system of government-run health insurance exchanges on which consumers could purchase subsidized, regulated individual market coverage.

Those exchanges have never been fully stable as either business or policy propositions. Premiums have marched steadily upwards; last year, the price of a typical plan rose by 22 percent, and early reports show large spikes coming this year as well. The non-profit health insurance organizations that Obamacare funded have mostly shut down. Large, for-profit health insurers, meanwhile, have lost money and either scaled back their participation or dropped out entirely.

Republicans have repeatedly criticized these marketplaces for being expensive and unstable. As Senate Majority Leader Mitch McConnell, who spearheaded the drafting of this bill, likes to say, “Obamacare is collapsing around us.”

Yet even more than the House plan, the Senate plan retains the essential structure of Obamacare’s individual market reforms. It would likely result in fewer people being covered, and it would not stop the destabilization of the market.

There is a correct way for Congress to deal with healthcare reform–get the government out of it, and let the free market prevail. That would mean a true repeal of ObamaCare. Unfortunately we have reached a point where neither political party truly shares the interests of the American people. The first step in the process of fixing healthcare in America should be the full repeal of ObamaCare. It was a bad bill. The second step in this process should be to make sure that Congress is covered under whatever healthcare plan they pass. That might result in a better product. The third step would be to look at the tort reform that was successful in Texas and see if it could be applied on a national level. The fourth step would be to make health insurance something that could be purchased across state lines. These four simple steps would stop the damage currently being done by ObamaCare. There are other things that could be done–tax credits that help people pay health insurance premiums, health savings accounts, etc., but these could be added later. Right now we just need full repeal.

If the current ObamaCare Lite bill proposed is not significantly altered, it should not be passed. However, what is actually happening here is that the Democrats are moving ahead with their plan for total government healthcare (single payer), which is what will magically appear when ObamaCare collapses. It is time for the Republicans to repeal ObamaCare fully. Then they can worry about how to replace it. Right now, they are simply working hard to remove themselves from office.

 

When Budget Cuts Are Actually Budget Increases

Yesterday Investor’s Business Daily posted an editorial about President Trump‘s budget proposal.

The article included the following graph:

As you can see, the federal budget does increase. However, it increases at a lower rate than it would if baseline budgeting were used. Baseline budgeting is a tactic used by people who want to grow the government to convince the rest of us that the sky is falling. It is very simple–if you got a 3% budget increase last year and you get a 2% increase this year, your budget has been cut (even though it grew by 2%).

The article further reports:

Trump’s proposed spending cuts for entitlement programs have been described as “massive,” “sweeping,” and on the surface, the $1.7 trillion spending cuts Trump proposes look massive.

But these reports always leave out one key fact. Spending on entitlement programs isn’t being cut. At least not in the traditional sense of spending less next year than you spend this year. Trump’s budget doesn’t touch Social Security or Medicare, and only slows the growth of the remaining “safety net” programs.

In fact, the projected 10-year spending for all entitlement programs under Trump’s budget would be trimmed by less than 8%. (See the accompanying chart.)

Some analysts say Trump’s budget would end up cutting $1.4 trillion from Medicaid over 10 years, because his proposed $610 billion in savings from reforming the program would come on top of the $800 billion proposed cuts contained in the House ObamaCare repeal-and-replace bill. (The budget doesn’t spell this out, but does contain a mysterious “allowance for ObamaCare repeal and replace” line item, with annual savings that match up to spending reductions in the House repeal bill.)

If true, that looks like a huge chunk, even from a program slated to spend $5.3 trillion. But keep in mind that states also contribute almost an equal share to Medicaid. In fact, when you combine federal and state spending, Medicaid is forecast to shell out more than $8 trillion over the next decade.

The article concludes:

Is Trump’s budget perfect? Hardly. We’d prefer that he tackle Social Security and Medicare reform in addition to Medicaid. The ObamaCare repeal savings are likely exaggerated. His $200 billion in infrastructure spending will only whet the appetite of lawmakers.

But on balance, this budget is far more realistic, and more responsible, than anything that ever came out of the Obama White House.

And as a statement of Trump’s governing principles — which is really all the presidents’ budgets ever amount to — Trump’s focus on spending restraint, entitlement reform, work incentives and on removing government impediments to growth is spot on.

In the world of Washington politics, power is measured by how much money you control. Bureaucrats love to spend our money. They will not give up that power easily. There will be a lot of people running around in the coming days yelling “the sky is falling.” They are misinformed. I wish this budget could pass Congress in its present form, but that is highly unlikely. However, I hope that the principles behind the budget will somehow survive and we will see a recognition of the fact that we are currently spending ourselves into destruction. The Washington establishment will not go down easily, but they seriously need to go down.

Fighting The Spin

You have heard the statements. People will die if ObamaCare is repealed. Those deaths will be on Republicans hands. Neither one of these statements is true, but I am willing to bet you have heard them reported as news.

On Friday Townhall posted an article about the ObamaCare replacement bill that passed the House of Representatives.

The article reports:

…But based on rhetoric from elected Democrats and the Left generally, one might assume that Obamacare was called the “Pre-existing Conditions Coverage Act” (side-stepping the whole “choice and affordability” fairy tale they peddled), and that the Republican bill obliterates those protections. The proposed law would be a “death warrant” for sick women and children, they shriek, casting Obamacare opponents as the moral equivalent of accessories to murder. This is demagogic, hyperbolic, inaccurate nonsense. To review the actual facts, even under an exceedingly unlikely scenario in which the Senate passed the House bill without making a single alteration, people with pre-existing conditions are offered several layers of protection:

There are a few layers of protection to make sure no one is left uncovered. The article explains:

Layer One: Insurers are required to sell plans to all comers, including those with pre-existing conditions. This is known as “guaranteed issue,” and it’s mandated in the AHCA. No exceptions, no waivers. I spoke with an informed conservative news consumer earlier who was stunned to learn that this was the case, having been subjected to 24 hours of unhinged rhetoric from the Left.

Layer Two: Anyone with a pre-existing condition and who lives in a state that does not seek an optional waiver from the AHCA’s (and Obamacare’s) “community rating” regulation cannot be charged more than other people for a new plan when they seek to purchase one — which, as established above, insurers are also required to sell them.

Layer Three: Anyone who is insured and remains continuously insured cannot be dropped from their plan due to a pre-existing condition, and cannot be charged more after developing one. So if you’ve been covered, then you change jobs or want to switch plans, carriers must sell you the plan of your choice at the same price point as everyone else. Regardless of your health status. This is true of people in non-waiver and waiver states alike.

Layer Four: If you are uninsured and have a pre-existing condition and live in a state that pursued (and obtained after jumping through hoops) a “community rating” waiver, your state is required to give you access to a “high risk pool” fund to help you pay for higher premiums. The AHCA earmarks nearly $130 billion for these sorts of patient stability funds over ten years.

The article goes on to explain that the healthcare bill passed in the House of Representatives is not perfect. However, ObamaCare is collapsing rapidly, and something does need to be done. Hopefully some positive revisions will be made in the Senate. Meanwhile, something needed to be done.

Please follow the link above toTownhall to read the entire article. Much of what the mainstream media is reporting about the healthcare bill that passed the House of Representatives is false. It’s important to know the truth.

A Breath Of Fresh Air In The House Of Representatives

This article is for all of the people who have sometimes looked at the U.S. House of Representatives and thought, “Who in the world do they represent?” Well, I may have found someone who does not physically represent my district, but she sure represents me.

Martha McSally is a Congressional Representative from the Second Congressional District of Arizona. After the repeal and replace ObamaCare bill passed the House of Representatives, Ms. McSally introduced H.R. 2192. H.R. 2192 has already been voted on and passed by the House of Representatives. The bill passed the House unanimously. So what is H.R. 2192?

According to Thomas.gov:

115th CONGRESS
1st Session
H. R. 2192

AN ACT

To amend the Public Health Service Act to eliminate the non-application of certain State waiver provisions to Members of Congress and congressional staff.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. Elimination of non-application of certain State waiver provisions to Members of Congress and congressional staff.

If the American Health Care Act is enacted, effective as if included in the enactment of such Act, section 2701(b)(5)(A)(ii) of the Public Health Service Act (42 U.S.C. 300gg(b)(5)(A)(ii)), as added by subsection (a) of section 136 of the American Health Care Act (relating to permitting States to waive certain ACA requirements to encourage fair health insurance premiums), is amended by striking “1312(d)(3)(D),”.

Passed the House of Representatives May 4, 2017.

What this bill does is to say that if the repeal and replace ObamaCare bill is passed, Congress and Congressional staff members would not be exempt from the law (as they have been under ObamaCare). The law would apply to both American citizens and the politicians who wrote the law. What a wonderful idea. This lady is my new favorite member of the House of Representatives! Let’s see if the bill gets past the Senate.

 

Is ObamaCare Dying?

The U.S. House of Representatives passed a bill today to repeal and replace ObamaCare.The bill, named the American Health Care Act, passed by a vote of 217-213. It is not a perfect bill, but it is a first step in stopping the collapse of ObamaCare and the descent into a government-controlled single-payer system. When President Obama gave us ObamaCare, the Democrats knew it would fail–the law ignored the statistics of the actuarial tables that keep the insurance agencies in business. There was no way it could succeed. The goal was to create an entitlement that would collapse and then institute a single-payer government plan. If Hillary Clinton had been elected, that would have happened. Instead, we have a President Trump who believes in free markets.

The Daily Signal posted an article about the passage of the bill today.

The article details some of the amendments to the bill:

New Jersey Rep. Tom MacArthur’s amendment would give the secretary of health and human services the authority to grant a waiver to states that wanted an exemption from costly Obamacare rating rules and benefit mandates.

In order to secure a waiver from these federal insurance rules, the amendment specifies that states must establish a high-risk pool for persons with pre-existing conditions, a program to stabilize the those premiums, or participate in a new federal risk-sharing program designed to secure continuing coverage and market stability.

As drafted, the waiver from these federal regulations would be virtually automatic. In short, the states would make the key regulatory decisions over benefits and rating rules.

A second amendment, offered by Rep. Fred Upton (R-MI) and Rep. Billy Long (R-MO) adds $8 billion over 2018-2023 to the bill’s $130 billion Patient and State Stability Fund (making the total around $138 billion).

It specifies that those additional funds are to be used by states that have received a waiver from federal insurance rules (under the MacArthur Amendment) to assist individuals with increased healthcare costs.

A Good Foundation

The House’s action should be understood as part of a continuing process of national health reform.

As amended, the House bill rightly focuses on costly health insurance rules, makes historic changes in Medicaid—transforming Medicaid from an open-ended entitlement to a budgeted program—and repeals the national health law’s mandate penalties and its slew of taxes.

In fact, the House bill provides for one of the largest tax reductions on record.

It’s not perfect, but it’s a beginning. Twenty Republicans voted against the healthcare bill. All the Democrats voted against the bill. It would be nice if Congress stopped playing politics and worrying about campaign donations and elections and simply tried to do what was best for America.

I Will Be Surprised If ObamaCare Is Repealed

Republicans have the votes to repeal ObamaCare. They have proven that the other sixteen times they voted to repeal ObamaCare. It was safe to vote for repeal before President Trump was sworn in because they knew there would be a veto coming from the White House. Now that there won’t be a veto, they have lost the courage of their convictions (as if they actually have convictions).

ObamaCare is another entitlement program. Getting rid of an entitlement program is almost impossible. The people who are benefiting from the program don’t want to give it up (even though the people paying for it want to get rid of it as soon as possible).  That is why many Republicans want to keep ObamaCare.

Betsy McCaughey, who has actually read the original ObamaCare bill and followed the issue of ObamaCare closely, posted an article at Investor’s Business Daily today.

The article reports:

The House vote on the GOP‘s ObamaCare repeal bill vote is down to the wire, with dozens of Republicans waffling as “undecideds.” What’s the hold-up? Ninety-six percent of people who have to buy their own insurance stand to benefit from this bill, which will likely drive down premiums by double digits.

The remaining 4% — those with pre-existing conditions — will be protected by a federal fund to subsidize their insurance costs. They won’t get priced out of the market, because the fund will pay the lion’s share of their premiums.

But some Republicans are running scared. Although the bill solves two problems — lowering premiums and protecting people with pre-existing conditions — these fence sitters are worried about something else — getting re-elected.

As a member of the New York delegation put it, the issue is “optics.” They’re cowed by the media’s false reports that the GOP is abandoning people with pre-existing conditions.

It is a fact of life that in America we have a political class that would rather get re-elected than do what is best for America. That is one of the main reasons Donald Trump was elected President. Voters hoped he would change that.

The article explains how some individual states have handled healthcare reform:

New York, New Jersey and several other states ruined their individual insurance markets two decades ago by imposing community pricing, which drove out healthy buyers. Lawmakers in those states would be smart to wise up, get a waiver and offer low prices to most buyers. But don’t count on it, at least not in New York.

But several states — Alaska, Minnesota, Idaho and Oklahoma among them — have already acted, without waiting for Congress. They used state funds to help cover the sickest people, and relieve pressure on healthy premium payers. Alaska averted a 40 percent premium hike that way last year.

To summarize: The funding is adequate and the approach works. Spineless politicians whining about “optics” should look in the mirror. What’s they’re really missing is backbone.

The first repeal of ObamaCare bill was a bad bill, and its defeat was a good thing. The courageous (and correct) thing for Congress to do would be to reintroduce one of its past repeal bills and simply let the chips fall where they may. However, as that would take courage, it is highly unlikely.

Throw The Bums Out–All Of Them

The Republicans still don’t get it. They were voted in to repeal ObamaCare and let the free market apply to all Americans. Well, according to an article in The Conservative Review today, they haven’t figured that out yet.

The article reports:

How many times have conservatives criticized Democrats in Congress for exempting themselves from feeling the full effects of Obamacare?

Well, now Republicans in Congress have done the same thing, exempting themselves and their staff from the effects of their own proposed health insurance legislation.

The GOP’s proposed reforms to the Affordable Care Act will permit states to apply for waivers to repeal Obamacare regulations driving up the cost of premiums — regulations like the essential benefits mandates and community rating requirements. The tentative proposal is a compromise between the Freedom Caucus conservatives who want to see Obamacare fully repealed and the party moderates who want Obamacare regulations to remain in place. On the face of it, the idea is “if you can’t fix it, federalize it.”

Unless the Republican Party fully repeals ObamaCare and puts Congress under the same healthcare program as the rest of America, they will be voted out of office as soon as possible. I will work hard to do this. If they are going to do the same corrupt things and the Democrats, why should we vote for them? Who do they actually represent? Thank God for the Freedom Caucus. May they stand strong again.

The article concludes:

Republicans are trying to sell something to the American people they don’t want to buy themselves. Is it any wonder 50 percent of Americans have “little or no confidence” in the Republican plan to reform health care? Not even Republicans believe in it!

The Politics of Abortion

Hot Air posted an article today about a recent statement by Democrat National Committee Chairman Tom Perez.

The article reports:

Democratic National Committee chairman Tom Perez became the first head of the party to demand ideological purity on abortion rights, promising Friday to support only Democratic candidates who back a woman’s right to choose.

“Every Democrat, like every American, should support a woman’s right to make her own choices about her body and her health,” Perez said in a statement. “That is not negotiable and should not change city by city or state by state.”

“At a time when women’s rights are under assault from the White House, the Republican Congress, and in states across the country,” he added, “we must speak up for this principle as loudly as ever and with one voice.”

Has anyone really thought this through? They are fighting for a woman’s right to kill her child because the child is inconvenient, not perfect, not wanted, etc. I am sure it is simple coincidence that one of the major contributors to Democratic political campaigns is Planned Parenthood, a million dollar business that performs the majority of abortions in America.

As I have previously stated, I do not support making abortions illegal–there may be times when an abortion is necessary to protect the live of the mother. However, I don’t believe that abortion should be a multi million dollar industry. Planned Parenthood specializes in abortion. They provide minimal healthcare for women in other areas. Planned Parenthood is a major contributor to Democratic political campaigns. The Democratic Party is simply protecting a major source of their funding.

It is time to re-evaluate abortion in America.

This is a picture of abortion in America in 2016 (from the Guttmacher Institute):

As you can see, the majority of abortions in America are performed on poor minority women. Our goal should be to help these women with birth control–not kill their children.

 

 

But What Are They For?

The Washington Free Beacon posted an article today about the activities of the Center for American Progress  The Center for American Progress has an Action Fund, which they are planning to use to fund anti-Trump activities around the country during the Congressional recess. Think about that for a minute. Why are they funding anti-Trump activities? Did anyone ever fund the Tea Party?

The article reports:

The Town Hall Project, a group that has served as the central hub for raucous town hall events against Republican lawmakers, announced the partnership with CAP Action to amplify their efforts.

“So today I’m excited to announce a partnership between Town Hall Project and the Center for American Progress Action Fund,” an email from Town Hall Project said. “With CAP Action amplifying our town hall event research, we can even better ensure that that all Americans have the tools needed to channel their organic energy to ensure their voices are heard and their elected representatives held accountable.”

“Let me emphasize that this is collaboration towards a common goal,” the email continued. “Town Hall Project is 100% independent and will never waiver [sic] from our core values of grassroots research and citizen engagement. While we stay true to ourselves—and to supporters like you—we know the way we win is to build a big coalition of progressive groups: big and small, new and old, online and offline, all working together to fight back.”

The email urges readers to visit ResistanceNearMe.org, a re-launched CAP Action website run in conjunction with the Town Hall Project.

“In partnership with Town Hall Project, Resistance Near Me is a hub for progressive local #resist actions, designed for you to find any public event, rally, town hall, protest, and more, near you, as well as the information you need to contact your member of Congress,” the website states. “It’s never been more important to raise our voices to resist Trump’s harmful agenda and the elected representatives who aren’t speaking for us.”

Jimmy Dahman, the founder of Town Hall Project, claimed on CNN in February that previous, explosive town hall events were “all organic and happening at the grassroots level.”

Wow. Funded grassroots. I think that’s called astroturf!

The concluding paragraph of the article explains who is behind this effort:

The Action Network’s board of directors includes Mark Fleischman, a former vice president of the Service Employees International Union (SEIU); Jeffrey Dugas, who worked for Podesta’s Center for American Progress and Elizabeth Warren’s 2012 Senate campaign; and Brian Young, who worked for John Kerry and Howard Dean.

The Town Hall Project website now acknowledges a partnership with NextGen Climate, an environmentalist super PAC founded by liberal billionaire Tom Steyer.

In the email announcing the CAP partnership, the Town Hall Project took credit for “some incredible victories” with their progressive allies. The group linked to a Yahoo article on how activists organized to defeat the Republican health care reform bill.

The Town Hall Project did not return a request for comment on its partnership with CAP Action.

Donald Trump has made an effort to help the average American by rolling back regulations, cutting some government spending already, and planning to prevent the crash of ObamaCare. He is also planning to change the tax code to make it work for everyone. Which part of these things is the Center for American Progress against? What are they for? How many paid protesters does it take before people begin to see the game being played here by the political left?

A Republican Victory In The Kansas Special Election

Fox News is reporting today that Kansas state Treasurer Ron Estes has won the special election in Kansas to fill the House seat vacated by CIA Director Mike Pompeo. Why does this matter? Because it is an indication that other than in the northeast and California, Americans are happy with the leadership of President Trump.

The article reports:

The race had been closely watched nationally for signs of a backlash against Republicans or waning support from Trump voters in a reliably GOP district. Trump won 60 percent of the votes cast in the 17-county congressional district this past November.

The president himself entered the fray Monday with a recorded get-out-the-vote call on Estes’ behalf and tweeted his support on Tuesday morning.

Other nationally known Republicans pitched in over the final days of the race. Sen. Ted Cruz of Texas campaigned for Estes Monday in Wichita, while Vice President Mike Pence also recorded a get-out-the-vote call. The National Republican Congressional Committee spent roughly $90,000 in last-minute TV and digital ads.

Thompson (Democratic civil rights attorney James Thompson) reckoned that the high-profile support for Estes helped push him over the top, and claimed he could have won had national Democrats rallied to him sooner. Readers of the liberal blog Daily Kos donated more than $200,000 to Thompson in the final days of the race. Thompson was also backed by Our Revolution, the group that grew out of Sen. Bernie Sanders‘ 2016 presidential campaign.

The Our Revolution backing of Attorney Thompson is interesting. If you remember, Bernie Sanders ran as an outsider and definitely leaned to the left side of the political spectrum. In 2016, Bernie Sanders won the Kansas Democratic Primary with 67 percent of the votes.

The article includes some comments by voters:

All those GOP calls prompted Charlene Health, a 52-year-old homemaker and Republican in Belle Plaine, to cast a ballot for Estes.

“I wasn’t even going to vote,” she said as she left her polling site Tuesday morning. “I finally did. I realized this was important.”

Alan Branum, 64, a retired construction worker is a Wichita Democrat who voted for Estes and plans to change his party affiliation to Republican since he leans more conservative. He thinks Trump has been been doing fine so far.

“I don’t think it is fair people condemn him,” he said of the president. “He hasn’t been in long enough to make a judgment. People need to give him some time.”

Estes supported Trump last year and backs the president’s policies. He supports the repeal and replacement of the Affordable Care Act, backs funding for a wall on the border with Mexico, opposes funding for Planned Parenthood, and does not believe an independent investigation into Russian hacking of the election is needed.

Lucy Jones-Phillips, a 31-year-old insurance representative and Democrat, acknowledged she doesn’t vote in every election, but said she voted for Thompson because she wanted to ensure supporters of Gov. Sam Brownback are not in office. She was especially upset when the Republican governor recently vetoed Medicaid expansion.

There are upcoming special elections in Georgia, Montana, South Carolina, and California. California is the only special election this year for a seat formerly held by a Democrat.

The Individual States Are Laboratories To Determine The Best Policies

For whatever reason, the Republicans seem to have a problem keeping their campaign pledge to repeal ObamaCare. For some reason, they just can’t seem to bring up any one of the many bills they passed to repeal ObamaCare in the past when they knew the President would veto the bill. They are behaving like cowards. The problem is not the Freedom Caucus; the problem is the establishment Republicans who, like the Democrats, love bigger government. At any rate, the states have shown the way to repeal ObamaCare.

On Friday, Investor’s Business Daily posted an editorial showing how various states have dealt with various aspects of ObamaCare.

The editorial explains:

In the early 1990s, several states adopted “guaranteed issue” (which banned insurers from turning anyone down for health reasons) and “community rating” (which banned insurers from charging the sick more than the healthy).

As with ObamaCare, these regulations banned insurers from denying coverage or charging people more because they were sick. Like ObamaCare, these reforms were popular with the public.

And, just like ObamaCare, they all caused their individual insurance markets to collapse, as premiums skyrocketed and insurers fled the markets.

So what happened?

Of 10 states that adopted ObamaCare-style market regulations, four repealed their “guaranteed issue” and “community rating” regulations altogether, according to a detailed analysis by Milliman in 2012.

New Hampshire, for example, adopted these protections in 1994. By 2000, only two insurance companies were writing individual policies in the state, and by 2001, only 3% of the state’s non-elderly population were enrolled in an individual insurance plan, down from 7.6% before the reforms kicked in.

The editorial goes on to explain that when the regulations were repealed in 2002 and a high-risk pool created for those with pre-existing conditions, more people bought insurance. By 2010, 8.5% of the population were buying on the individual market.

The editorial cites a similar experience in Kentucky:

Kentucky likewise abandoned these protections six years after adopting them, and after making various modifications in hopes to get the rules to work. When Kentucky first imposed guaranteed issue and community rating in 1994, there were more than 40 insurers in the state’s individual market. By 1996, only one was left.

Iowa and South Dakota also ditched their guaranteed issue and community rating reforms within nine years of enacting them. Washington weakened its guaranteed issue provision in 2000.

The editorial concludes:

These states show that repealing blanket “guaranteed issue” protections is politically possible, that it will restore the individual insurance market to health, and that there are other, better ways to take care of the sick.

The free market works every time it is tried!

The government does very few things well. Right now I can’t think of any of them. I am reminded of the Milton Friedman quote:

“If you put the federal government in charge of the Sahara Desert, in 5 years there’d be a shortage of sand”

We need to keep that quote in mind when Congress talks about expanding government programs.

Why We Need A Clean Repeal Of ObamaCare

The Daily Caller posted an article today about the first U.S. city to feel the effects of the failure of ObamaCare.

The article reports:

Knoxville, Tenn., could be the first city in the U.S. where Obamacare completely collapses, leaving tens of thousands of people without the option to buy a subsidized insurance policy.

Humana, the city’s only remaining insurance provider on its Obamacare exchange, announced it is exiting the market in 2018. If that happens, Knoxville citizens will be in a rough spot. Unless another insurance provider fills Humana’s place, some 40,000 people in the Knoxville area will likely be left without the option to purchase an Obamacare-subsidized insurance policy, CNN reports.

Knoxville is illustrative of one of the main problems with Obamacare: It doesn’t promote market-based competition. Insurers pull out of marketplaces where it is not cost-efficient for them to provide services, and, as a result, consumers are left with fewer options at higher prices.

When the government interferes with the free market, bad things happen.

Because of the collapse of ObamaCare, people will have to buy their insurance in the private marketplace. Senators Lamar Alexander and Bob Corker of Tennessee have proposed a bill that would allow consumers to purchase any state-approved health insurance plans with ObamaCare subsidies. Again, the government is interfering in the free market.

The health insurance industry is not the villain here. Insurance companies use statistical tables to determine rates. They are in business to make money and should be allowed to do so (although allowances should be made for pre-existing conditions and long-term issues). There are a few steps that can be taken to bring reason back into the health insurance market–tort reform, selling insurance across state lines,  and high risk pools for pre-existing conditions.

Texas succeeded in slowing the rise of health insurance premiums by tort reform. Unfortunately a large percentage of the campaign money that goes to Congressional campaigns comes from trial lawyers. That will make it very difficult to pass tort reform on a national level. This is another reason to get the federal government out of the health insurance business.