06-19-2017, 03:37 PM
(06-19-2017, 03:04 PM)BengalHawk62 Wrote: That is a good question. Why are they leaving? Iowa currently has one provider left in the entire state. After they leave, then what?
http://www.kcci.com/article/last-statewide-insurer-left-in-iowa-will-stay-if-subsidies-remain/10042044
DES MOINES, Iowa —
A spokesman for health care insurer Medica says it plans to sell insurance in Iowa next year and expects to make an announcement soon.
Medica spokesman Larry Bussey confirmed Monday the company has preliminary plans to remain in Iowa but the company seeks clarity on how the Affordable Care Act exchange market in Iowa is going to function.
Iowa last week applied for a federal waiver to allow federal subsidies designed to lower costs for low-income and older participants to be used to entice younger people to buy insurance in hopes of keeping Medica and perhaps attracting others back to Iowa.
Medica is the only statewide insurer left in Iowa. State insurance officials feared the Minnesota-based company might also leave, causing 72,000 people to have no choice next year.
Why are they leaving? Money. If they can't make money, they aren't going to participate. Part of that is fueled by the fear the government will stop the subsidies. That is an issue even Trump has actively tried to foment by threatening to stop the subsidies. Plus there is the AHCA plan currently being ironed out in the Senate. Companies literally don't know which system will be in place next year.
What happens after they leave? It will be the same as before Obamacare. The working poor can still purchase an individual or family health insurance policy on the open market which they most likely can't afford and won't purchase just like before Obamacare.
From what I've read so far the AHCA doesn't control the cost of insurance and healthcare any more than the ACA did (which was one of the few valid criticisms of the ACA.) However, abolishing the pre-existing condition clause was something of benefit to most Americans even if they didn't have an Obamacare policy. Allowing states to opt out of that will hurt everyone, but the very wealthy. They're actually trying to get rid of one of the beneficial parts of Obamacare.
