More Health Care Cost Admissions

Associated Press: New Coverage for Young Adults Will Raise Premiums

Letting young adults stay on their parents’ health insurance until they turn 26 will nudge premiums nearly 1 percent higher for employer plans, the government said in an estimate released Monday.

The coverage requirement, effective starting later this year, is one of the most anticipated early benefits of President Barack Obama’s new health care law. Many insurers have already started offering extended coverage to families who purchase their coverage directly. And employers say parents have flooded their benefits departments with questions.

The Health and Human Services Department released estimates of the costs and benefits of the requirement as part of a regulation directing employers and insurers how to carry it out.

The new benefit will cost $3,380 for each dependent, raising premiums by 0.7 percent in 2011 for employer plans, according to the department’s mid-range estimate. Some 1.2 million young adults are expected to sign up, more than half of whom would have been uninsured.

The situation is different for people buying their family coverage directly from an insurer, as many self-employed parents do. Unlike employers, insurers in the individual market do not have to spread the costs broadly. Parents would face an estimated additional premium of $2,360 in 2011.

Enrollment as well as cost would increase modestly after 2011 for both employer and individual plans. Starting in 2014, the major changes of the new health care law go into effect. New competitive insurance markets would open for business, government tax credits would be available to help pay premiums, and insurers would no longer be allowed to deny coverage to those in poor health. Most Americans would be then required to carry health insurance.

Another day, another admission of increased cost from either the Obama administration or its sycophantic press.  Even if I had all day at the computer, even if I didn’t have to work during the day and spend the nighttime studying and packing our house, I still couldn’t reconcile all of the stories of how this health care reform law is going to adversely affect Americans.

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Comments

  1. Anonymous says:

    Hey kids, grow up, and get your own danged coverage. sissies.

  2. Gail B. says:

    I heard today that when you sell or refinance your house, you will pay something like seven or eight percent more as a tax that will go towards paying for the Obama Healthcare.

    Ain’t life grand?

  3. Jeff Schreiber says:

    Gail — link, please.

  4. Gail B. says:

    Here’s the link–
    http://www.spokesman.com/stories/2010/mar/28/health-laws-heavy-impact/

    And, my mistake–it’s 3.8 percent.

  5. The cost to congressmen, roflmao says:

    MORGANTOWN, W.Va. – A West Virginia congressional seat that’s been held by a Democrat for generations is now up for grabs after 14-term incumbent Rep. Alan Mollohan was swept out of office on a wave of voter unrest that an opponent called a referendum on President Barack Obama.

    The congressman is the first U.S. House incumbent to be ousted this spring primary season amid widespread anti-incumbent sentiment. The same unrest helped end the 17-year career of Utah Republican Sen. Bob Bennett, who lost a GOP convention on Saturday.

    State Sen. Michael Oliverio carried 56 percent of the vote to Mollohan’s 44 percent Tuesday night after an aggressive campaign that questioned the incumbent’s ethics and support for issues including federal health care reform.

  6. Gail B. says:

    Well, correction: It’s 3.8 percent.

    Here’s the link to the story:

    http://www.spokesman.com/stories/2010/mar/28/health-laws-heavy-impact/

  7. Jeff Schreiber says:

    And, In other news out of Morgantown, I’ll have you know that Amanda Pasdon won her primary for the House of Delegates seat. Congratulations to Amanda!

    Jeff

  8. Gail B. says:

    I was stunned–and almost reduced to tears–

    We have a Democrat (Michael Murphy) running for the Congressional GA-13 seat . This Democrat is a member of the political forum of which I am a member, and the president of the forum sent the notice of his candidacy. So, I emailed the man to ask if he is a conservative or a Progressive.

    His reply was both thoughtful and touching. (Bottom line — he’s conservative.) I thanked him for his reply and told him that he had restored my faith that there are conscientiously conservative Democrats in existence. I think he perfectly understood my concern about the overreaching administration in D.C. today and the danger that incumbent David Scott poses as a Progressive. As a Democrat, Murphy will probably have a better chance at booting Scott out. There are a couple of good Republican candidates running for the office, but GA-13 is heavy Democratic. I’ll keep tabs on this.

  9. Boston Blackie says:

    Amanda,
    If you check in today I’d lke to say-
    Way to go girl!! Congratulations, now it is onto November.

  10. Anonymous says:

    And the bulletless revolution begins.

  11. Lilly says:
  12. Chuck in San Diego says:

    Various realty websites have posted this info which makes sense to this skeptic:

    An article has been circulating around the internet claiming the recently passed health care legislation imposes a 3.8% tax on homes sales. The article fundamentally mischaracterizes and overstates what is actually contained in the legislation. The $250,000/$500,000 exclusion for the sale of a principal residence remains unchanged. Some individuals and families may be subject to a 3.8% tax on a portion of their unearned income. Unearned income includes interest, dividends, capital gains and net rents. The new tax will apply ONLY to for single filers with more than $200,000 of Adjusted Gross Income (AGI) and joint filers with more than AGI of $250,000.

    The new Medicare tax would apply only to any gain realized that is more than the $250K/$500K existing primary home exclusion, and only if the seller has AGI above the $200K/$250K AGI thresholds. So, for example, if the taxable portion of a gain was $30,000 and a married couple had AGI (which would include the taxable gain) of $180,000, the 3.8% tax would not apply because AGI is less than $250,000. If that same couple had AGI of $290,000, then the application of the 3.8% tax would be subject to the same formula described above. The $30,000 gain on the sale would be less than the $40,000 excess above $250,000 AGI, so the $30,000 gain would be subject to the new 3.8% tax.

  13. Anonymous says:

    see 7:36 above…..
    see why we need a FLAT tax!!!!

    NO IRS
    NO ACCOUNTANTS
    NO FRUSTRATED TO INSANITY FILERS

  14. Boston Blackie says:

    Chuck-
    They must have helped compose Obamacare, now we know why it is 2409 pages!

  15. Beep Beep says:

    Honk, if I’m paying for your healthcare.

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