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Obamacare Individual Mandate Requires Affordability

November 17, 2015
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I recently asked a group of independent contractors if they could design a health insurance plan, what would it look like. After a long moment without a response, I asked a few more questions.

  • What kind of health plan would you like to have?
  • How would you like to pay for the care you receive?
  • What, if any, information would you like to have before seeking medical care?
Below are the health care plan wants the group articulates:

  • Want a plan that allows you to visit any medical provider
  • Want a health plan without a deductible and coinsurance
  • Want medical care cost estimates
  • Want a health plan I can understand
  • Want to know why health care cost so much
  • Want help paying for health insurance and health care
  • Want an easier way to choose a health plan
  • Want to pay health insurance premiums via tax (like Medicare)
What I learned from this conversation is that it is hard to discuss a subject you don't understand, and people don't understand health insurance and health care plans. What they do understand is that it's a struggle to afford health insurance without the assistance of an employer or government subsidy. They know that health care pricing is hidden from them until it is too late to do something about it. They know that health plan jargon and design is complex and confusing. And they know that the health plan information they receive is not too helpful.

Oh, one more thing that I picked up on talking to this group of ladies in their late 40s to early 50s is that they're afraid and frustrated. They don't know how long they will be able to participate in the current health insurance system. I understand their frustration because no one is offering solutions for people in their situation. Instead they hear government defending how they are helping so many others afford health insurance and health care. They also have to endure the anti-reformist defend the health care status quo.

Conclusion

Government and the health care industry are ignoring the people who are on the hook for paying the most in health insurance premiums and deductibles. Ironically, many of these folks are the biggest supporters of government-led and health care industry supported health care reform. They don't object to paying health insurance premiums and deductibles. However, they do object to paying more in health insurance premiums than their traditionally employed counterparts. They also object to the possibility of having to pay thousands upfront in deductibles.

The government may feel like it has done all it can at the moment by simply increasing access to health insurance. But it has also made buying health insurance mandatory, with a few exceptions. And because of this mandate, access without affordability is an issue firmly in the government's court.

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