Molina Healthcare, a Long Beach, CA health insurer that came on strong during the initial stages of ObamaCare made a significant announcement yesterday for residents in Wisconsin who have used Molina. It is officially out of the ObamaCare marketplace in Wisconsin for next year. It is planning to increase its premium rates in the other marketplace plans it still will operate by 55%. It is also laying off 1,500 employees.
It covered about 55,000 people in 26 Wisconsin counties last year and lost its shirt, so to speak when it announced a $230 Million loss for just the past three months. Molina also is leaving the Utah marketplace and is reviewing its participation in other marketplaces (including Florida and Washington) across the U.S.
Anthem Blue Cross Blue Shield announced in June that it was dropping out of the ObamaCare exchanges in Wisconsin leaving another 14,000 people without a source of coverage in Wisconsin.
This is but a small example of the damage that has been caused by ObamaCare. The deadline for any insurer to announce if it will drop from ObamaCare is in September. I expect there could be more such announcements between now and that deadline.
This kind of news is similar to ripples on a pond. Insurers that might have still been thinking about their future in ObamaCare marketplaces step back and wonder how they’ll be impacted by fewer insurers being involved. Will they attract more poor health risks? Will their premium rates cover the additional losses? Will the government live up to its promise to provide financial assistance to insurers that get hit hard with claims?
The Democrats own this debacle as I’ve said before. They are increasing their ownership when they refuse to take up consideration of other approaches in Congress that might make ObamaCare a bit more stable for a period of time. Their ‘pride goes before the fall’ of this entire monstrosity, and they simply seem unable to come to grips with what they have done to healthcare, not for healthcare, all across this country.
The bottom line is simply this:
Many more people who have invested in ObamaCare will find themselves without health care coverage next year. Not just with poorer health care coverage, simply no coverage will be available, and that could’ve been avoided but for the Democrats in Congress. That will ripple through the economy as well as through the lives of those who have been suckered into this Hades of healthcare, and left by the Democrats with nothing but their health care bills…if they even can find providers willing and able to provide that care.
Actions have consequences. Actions that cause this level of consequence ought to be punished, and yet voters continue to overlook the facts and re-elect Democrats to Congress.
By the way Republicans, we are tired of the squabbling amongst the factions in your caucus. It is time to put relatively petty politics aside and do what needs to be done for your constituents. The sand in the hourglass is almost all on the bottom.