Tip of the Iceberg

Cancelled Coverage

President Obama promised that Americans could keep the health insurance they had and liked. The Administration said the law’s “grandfathering” policy would protect people. What the President didn’t say is that there was fine print. The “grandfathering” policy doesn’t apply if an insurer stops offering coverage or if people make changes to their policy. If there’s any change like that, the President’s promise vanishes. Millions of Americans are getting cancellation letters from their insurance company because their existing policies don’t meet the new benefit mandates in the health care law. According to NBC News, the Obama Administration knew for years that up to 75 percent of the 14 million people who buy their own insurance will face cancellation. As one California resident said, “All we’ve been hearing the last three years is if you like your policy you can keep it … I’m infuriated because I was lied to.” Cancellations since the exchanges launched on October 1 include:

• 800,000 in New Jersey
• 300,000 in Florida
• 279,000 from Blue Shield and Kaiser in California
• 76,000 from CareFirst in Washington, D.C., Maryland and Virginia
• 24,000 in Philadelphia

Premium Increases

Americans are getting hit hard by Obamacare sticker shock. Blue Cross told one Charlotte, N.C., man that his current plan doesn’t meet benefit requirements outlined in the health care law and suggested a comparable plan for $1,208 a month – $980 more than he now pays. “I’m 62 and retired,” the man said. “This creates a tremendous financial burden for our family.” One insurance executive in California said she got a letter from a young woman complaining about a 50 percent rate hike, who wrote: “I was all for Obamacare until I found out I was paying for it.”

Higher Co-Pays and Deductibles

According to one analysis, “Consumers could face steep cost-sharing requirements – like co-payments, co-insurance and deductibles – layered on top of their monthly premiums.”

Can’t Keep Your Doctor

Forty percent of physician practices nationwide say they don’t know if they will participate in the Obamacare exchanges, according to a new poll.

Fraud and Identity Theft

Even before the exchanges opened for business, insurance commissioners warned consumers about potential scams including: fake Obamacare or Medicare cards; unsolicited emails or phone calls from people selling insurance through the exchanges; and fake websites claiming to be the official location to buy exchange health insurance plans. Despite the warnings, once the Obamacare exchanges opened, reports of fraud immediately emerged.