CBO: Health Care Law to Cost More but Cover Fewer Than Expected
Subscribe today for Free Enterprise Updates
- Latest business trends and best practices
- News about legislation and regulation impacting business
- Business how-to articles from industry experts
- Commentary and interviews with newsmakers in business and politics
The Patient Protection and Affordable Care Act (PPACA) will be less affordable for the federal government:
The Congressional Budget Office (CBO) estimated Tuesday that President Obama's signature healthcare law will cost about $1.3 trillion over the next 10 years.
The figure represents a slight increase since August, when the nonpartisan budget office estimated that the law would cost about $1.17 trillion before 2022.
[You’re dealing with big numbers when $130 billion is considered a “slight increase.”]
Also, expanded health insurance coverage is not looking good either:
The number of Americans projected to gain insurance from the U.S. health-care law is eroding, by at least 5 million people, as the Obama administration struggles to implement the $1.3 trillion overhaul amid Republican opposition.
About 27 million people are expected to gain coverage by 2017, according to a report today from the Congressional Budget Office. The CBO had projected when the law passed in 2010 that 32 million uninsured people would be on a health plan within a decade, and a year later raised its estimate to 34 million.
On top of that, the Washington Examiner’s Philip Klein reports that the CBO estimates that “7 million fewer people will have employment-based health insurance as a result” of the PPACA. Remember “If you like your health care plan, you can keep your health care plan”? Try not to laugh too hard.
Appearing on Fox News, Dr. Marc Siegel said that employers simply can't afford the coverage, and the law caps the precentage of premium that an employee must pay. See Siegel's interview here:
While the PPACA fails to meet its intended goals, we’re being buried in regulations. The Obamacare Burden Tracker, produced by the House Ways and Means, Education and the Workforce, and the Energy and Commerce Committees, contains page after page of rules and how many hours needed annually to comply with them. The total is over 127 million hours right now, with big parts of the PPACA still yet to be implemented.
With higher costs, less-than-expected coverage, and a mountain of regulations, the PPACA is a classic case of overpromising and underdelivering.