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I know @joebiden means well in reopening the enrollment period for ACA marketplaces, so more people can sign up for coverage. But as an expert in the health insurance industry, I have a big concern: many people who sign up for these plans won’t be able to use them. Here’s why:
Many who sign up for an Obamacare plan can’t use it because they have to pay thousands out of pocket before coverage kicks in. A recent Commonwealth Fund study found 42 % who bought coverage through exchanges were underinsured because of the amount they had to pay out-of-pocket.
Almost 1/3 with coverage through employers are underinsured because of unaffordable deductibles. More than 1/4 with crappy insurance -- that’s what it is -- said they delayed needed care because of the cost & nearly half said they had medical bill and debt problems.
No wonder: the Federal Reserve says 40% of Americans don’t have $400 in the bank. How in the world do you expect middle class Americans to meet a deductible of thousands of dollars EVERY YEAR?
Deductibles have skyrocketed since the ACA was passed. Just over the past six years, the average deductible for an ACA silver plan has jumped from $2,425 (in 2014) to $4,500 (in 2020). Most people don’t have $4,500 saved for an emergency.
I know Dems in Congress who wrote the ACA didn’t want or anticipate deductibles to rise as they did. But as a former insurance insider, I’m unfortunately not surprised. Since ACA passed, insurers have hiked deductibles each year. It’s a big reason they're posting record profits.
Delaying care can be deadly. I know, @POTUS, you never intended for diabetics enrolled in an Obamacare plan to skip their insulin, but that happens every day in this country. Meanwhile, the big for-profit insurers are reporting these record profits in the midst of a pandemic.
President Biden: To really help working class families get the health coverage they need, you need to focus on making health insurance work for them. One way is to kill out-of-pocket deductibles. My old industry might not like it, but it will save lives.
