In May 2013, Covered California officials faced sharp criticism over claims that premiums would actually go down for many health insurance purchasers. Forbes.com’s Avik Roy wrote that the agency implementing the Golden State’s version of Obamacare needed to look at its own data, which suggested health premiums would surge at least 64 percent after the regulations in the Affordable Care Act took effect. Bloomberg analysts offered similar criticisms.
Two years later, the Kaiser Family Foundation has issued a report that suggests these warnings were more accurate than the upbeat predictions of Covered California Executive Director Peter Lee. A key finding:
“Among adults who say that they pay a monthly premium for their health coverage, nearly half of newly insured adults (47 percent) say it is somewhat or very difficult to afford this cost, compared to just 27 percent of adults who were insured before 2014. When looking specifically by type of coverage, 44 percent of Covered California enrollees (not all of whom are newly insured) report difficulty paying their monthly premium, versus a quarter of adults with other types of private coverage. Medi-Cal enrollees do not pay monthly premiums for their coverage.”
Cost, not glitches, slowing CA sign-ups
The Kaiser report, which was based on interviews with 4,555 Californians, says the cost factor is the biggest barrier to higher enrollments, not online technical snafus:
Via: California Political Review“Cost continues to prevent many uninsured adults from seeking coverage. While many people focused on website glitches and administrative barriers during 2014, uninsured adults say that the reason they still lack coverage is because it’s too expensive, with most not even trying to get ACA coverage, and many who did still saying they are ineligible or believe the coverage is too costly.”
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