Friday, January 31, 2014

The great health insurance lie

We have all heard the fact that before Saint Obama granted us Obamacare, if you got sick, your insurance company would drop you. This is quite simply not true. But that has not kept our wise overlord from perpetuating the myth as part of the justification for Obamacare.

The truth is, before the government interfered with the market, the market offered guaranteed automatic renewals. Sure you might have had to pay a little extra for it, but it was an option people could choose. HIPAA violated people's right to choose and mandated guaranteed renewability, forcing people to pay for something they did not want or forcing group insurance plans to not exclude members due to preexisting conditions.

This means that for the past 18 years since HIPAA was passed, no person has legally been denied the ability to renew their health insurance due to sickness. Every individual health insurance policy is mandated to include the extra charge for guaranteed renewability.

So next time someone says that Obamacare saved people from being dropped, ask them to show even a single case where someone has been dropped due to getting sick.

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