“Congress made the guaranteed issue and community rating requirements applicable in every state in the nation,” Chief Justice John... View Enlarged Image
On the very first page of Robert's King v. Burwell opinion is a glaring mistake about ObamaCare. The chief justice explains how states that tried ObamaCare-like market changes — called "guaranteed issue" and "community rating" — saw their insurance markets caught in a death spiral as young and healthy dropped coverage and premiums shot up.
Roberts then claims that in 2006 "Massachusetts discovered a way to make the guaranteed issue and community rating requirements work" by adding an individual mandate and premium subsidies.
Since ObamaCare is modeled on Massachusetts law, ipso facto ObamaCare must also be working. And so the court had an overriding reason to protect it, even if it meant twisting the law into pretzels.
Before Roberts wrote those opening lines, he should have taken a look at what's happening in Massachusetts right now. Had he done so, he'd have seen that even if that state's 2006 legislation worked, ObamaCare clearly hasn't.
Next year, enrollees in Massachusetts face premium hikes that could be as high as 21%. This, mind you, in a state that already had among the highest premiums in the nation and was in no danger of losing ObamaCare subsidies no matter how the court ruled.
The same thing is going on around the country, with insurers proposing rate hikes that in some states top 50%. Oregon regulators are actually demanding insurers raise their ObamaCare premiums by double digits.
And all cite the same reason: ObamaCare's mix of mandates, subsidies and market regulations aren't working. The young and healthy aren't signing up as hoped, the insurance pools are more expensive than expected and so far higher premiums are needed.
Industry expert Robert Laszewski notes that "the next wave of rate increases will also be large, and will be in the middle of the 2016 election." In other words, we're seeing the emergence of the very death spiral Roberts said his ruling was designed to prevent.
ObamaCare defenders say such rate hikes are no big deal because most of those signing up in the state and federal exchanges get — and will continue to get, thanks to the court — taxpayer subsidies.
Read More At Investor's Business Daily: http://news.investors.com/ibd-editorials/062515-759070-obamacare-in-trouble-despite-scotus.htm#ixzz3efVGiikJ
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