theworldaccordingtojohnnie

This is how insurance works, it’s called the “Law of Large Numbers”. You spread risk out among a large number of people- hopefully much of which is “low risk”, this makes insuring the “high risk” much more affordable.  Hence, if a company insured only bad drivers, auto rates would be much more.  But, with good drivers in the mix, premiums are more affordable. Obamacare is designed to kill the health industry as we now know it by doing just the opposite.  Per information given to us by the State of California, Covered California (California’s version of the Affordable Health Care Act) was going after a large demographic of uninsured males in Southern California.  Problem #1: Isn’t it true that you can stay on your parent’s policy till age 26?  That takes away a pretty big number.  Problem #2: Why would any youth pay $200 per month for a policy with a $6000 deductible that they probably will never use vs. pay a penalty of approximately $100 for the year.  Do the math, if health insurance wasn’t important to me before and I now have the option to pay $2400 for worthless insurance (perceived) vs. $100 in penalties…  Obamacare is diabolical!  Why didn’t they make the penalty match the insurance premium?  Then- you would have had a major motivation to buy and MANY more get insured.  Then- you’ve added a healthy pool of people to this risk pool and premiums GO DOWN.  Healthy people are pulling out of the market place left and right because of stupid policies like that shown above- which causes rates to GO UP!