Pre-Existing Conditions Important For Insurance

What is the definition of insurance?  Insurance is the transfer of risk from one party to another.  Usually, one party is willing to accept the risk of the other party by virtue of a premium.  For example, if the insured is wanting to insure his boat from natural disaster, the insurer will offer such protection (from property/monetary loss) at a rate deemed comfortable by the insurer.  A boat in the middle of New York is being insured and a boat on the Florida coast is being insured.  Which boat insurance policy is more expensive in our example?  Well, the boat that brings the most risk to the insurer will be the boat that maintains the most expensive policy.  So, the insurer is willing to accept both risks - but, if he is charging $300/annually (for a 50k damage policy) for the boat in New York and $300/annually (same 50k policy) for the boat in Florida, where is the insurer most likely to have to pay a claim?--Obviously in Florida.  Now, if insurer charged the same $300/annually for both New York and Florida, the insurer will take a very large hit once the next hurricane blows through Florida.  To which the Left would shout with joy that the insurance company is taking a hit - remember wise-guy, if they take a hit, all of the other policies they insure will take a hit as well. 

Anyway, so, for our example, the insurer must charge more for the same 50k policy in Florida than he would in New York.  Why?  Because the risk being transferred is greater in Florida than in New York.  Now, let's turn our attention to health.

(Let's assume health care operates as a lump sum benefit based on diagnoses.)  The policy sought after is the same 50k policy, but it is for health and not for boats.  Person A has Type II Diabetes.  Person B has Type I Diabetes, had a stroke 3 years ago and is about to go on dialysis.  Which person brings more known risk to the table?--Person B, obviously.  So, again, the insurer will charge more for higher risk.  Is this wrong?  No, absolutely not!  The only way an insurance company is able to pay its claims is by taking the premiums and investing them to make money.  So, if an insurance company is going to consider a high risk individual (a person they will more likely pay a claim on sooner) they need to be able to cover that loss.

Now, are there people with so great a risk that insurance companies are not comfortable with covering them?  Sure.  Is that wrong?  No!  It is a private company and it can set its own standards of risk tolerance.  So, what does Obama's plan do to this scenario?

Obama wants to eliminate pre-existing conditions.  By doing this, the risk transfer is 100% on the insurance provider.  Therefore, it is no more insurance, but simply reimbursement coverage.  Now, if an insurance company is required to pay claims for any and every thing, what do you think will happen to premiums?  Again, the company is trying to protect against loss.  Well, we would have our Florida example to the 10th power.  Insurance companies would raise premiums; possibly hundreds or even thousands of percents higher.  By the way, who pays these premiums?  We buy the policies, so we do!  If your premium jumps 1000%, what would you do?  Well, you'd still keep your cable, but you'd get rid of the insurance.  Taste it - because you know its true.  So, insurance policies are being dropped at a rapid pace.  With no client's paying premiums, the insurance companies do not make money.  Businesses that don't make money, fail.  Obama's plan is to destroy the insurance industry thereby leaving no other alternative but to rely on the sugar mama of Government.  However, the Government cannot pay for this without help from your taxes.  So, instead of paying premiums to an insurance company, you will pay higher taxes to cover this massive intrustion into capitalism.

Call your Congressman and demand a "no" vote on healthcare!

Dial: 877-762-8762 or 202-224-3121 or 202-225-3121

Health Care At Any Cost

http://www.cnn.com/2010/POLITICS/03/08/health.care/index.html

This is unbelievable.  Read the article for a quick temper boost.

Obama was upset because private health insurers have recently raised their rates.  Guess what, Obama - it's none of your concern; they are PRIVATE health insurers.  If people don't want to pay their rates, then they go down the street to the next guy.  But, perhaps this is just a strategic move by the health insurers knowing that once pre-existing conditions are gone, they will have to insure any and all, and thereby, requiring to raise rates to be able to pay for all of it.  Therefore, to recoup this cost, they must raise rates...which is what I've been saying all along (http://theconservativeanthem.blogspot.com/2009/08/fundamental-problem-with-national.html, http://theconservativeanthem.blogspot.com/2008/11/be-it-resolved.html).  Obama thinks his policies will have no ramifications on private business.  But, we clearly see it is beginning to happen.

So, Obama opens his speech with another sob-story.  I doubt the validity of this and question how much she was paid to lie to the crowd.  But, this woman is purportedly a diabetic and was just informed by the evil health insurance company she has that her rates would "more than double."  First of all, the trade off of what she is paying verses what the insurance is paying is still working in her favor.  Secondly, what are the details of such a rate increase?  Are there specifications in her policy that would allow for rate increases if certain criteria are met?  Is this another case of someone not reading their policy before agreeing to it?!  Lastly, Obama is using typical Liberal tactics by avoiding objective, analytical facts and going straight for the "emotional jugular."

Obama goes on to say (quoted from the article) "The price of health care is one of the most punishing costs for families, businesses and our government," Obama said. "The insurance companies continue to ration health care. ... That's the status quo in America, and it's a status quo that's unsustainable"

What?!  The price of health care is a punishing cost to the government?  And he wants the government to run it?!  Who funds the government anyway?  WE DO with our taxes!  So, if health care is a punishing cost to the government, then Obama will have to RAISE TAXES to ease the pain of this so-called punishment.  Don't be fooled.  Obama is "concerned" about the rising cost of health care, but he isn't concerned about the rising taxes since he took office; he isn't concerned about the rising deficit.  What makes you think he is all concerned about the costs of health care?

Furthermore, "The insurance companies continue to ration health care."  Two things about this: is it possible for a company to "ration" its services because they only have a certain amount of money?  But, Obama here is committing fraud to the American people.  He is giving the idea that companies are turning away people left and right and that's not what America is about.  Obama - you run Medicare.  You run Medicaid.  You run Social Security.  How many are turned down for Medicare and Medicaid benefits?!  How many that file for Social Security disability are turned down - and they actually have a viable disability?!  Notice how Obama never tries to explain how government-run health care will be different than these three behemoths of waste.

I'll end with this: Obama responds to GOP criticisms that this plan (nearly $1 trillion) doesn't have any breaks on spending.  Obama's response: "You had 10 years.  What were you doing?"  Ok, 57-states, 1994 to 2006 isn't 10 years, it's 12.  What were they doing?!  They were passing tax-cuts for Americans - that's right, giving us our money back.  They were fighting off the destruction of the Clinton Administration.  They had 9/11 to deal with.  They passed Welfare Reform that limits the amount of time a citizen can be on the program.  So, Obama, like the little brat in the store who doesn't get candy, stands up and says, "Fine.  Since you didn't take any initiative to do this, I will.  Screw you, America!  I'm going to cost your children and grandchildren trillions of dollars because the GOP did nothing for health care.  Yeah, how do you like me now?  What choice do you think I had?" 

In an unrelated story, Scoliosis claims have risen in the US due to added weight and pressure of Hope and Change.

Obama Urges Taunting Of Talk Radio On Health Care

The Obama Reich can't get enough of health care.  After telling the Republicans at the summit meeting that if the American people don't want it, we'll just push it through anyway, Obama is now deploying a new tactic.  He is afraid that the message isn't getting heard because of talk radio.  (When, it is quite the opposite: the message is being heard.)  So, Obama has created a webpage that encourages health care supporters to call these talk radio shows and be armed with talking points.  These talking points are designed to hit the talk radio audience in a spot they are perceived as not having - their emotions.  Let's take a brief minute and examine these talking points.  (Go to http://radio.barackobama.com/ for the list)

1.  For most Americans, their health care plan covers too little and costs too much. Far too many people delay or even skip the care they need because they simply can’t afford it.

Covers too little?  Costs too much?  According to http://www.politifact.com/truth-o-meter/article/2010/feb/26/health-care-reform-simple-explanation-updated/ 60% of Americans get their health insurance through work.  These people are not buying their coverage.  Their company is buying the coverage and the employees are able to take advantage of the coverage through small deductions from their pay checks.  So, this "most Americans" is whom?! 

Allow me to translate "covers too little" - if you don't get EVERY service, visit, test, etc. covered, then you don't have the right coverage.  Allow me to translate "costs too much" - if you have to pay for your health care, then it costs too much.  These Democrats are once again just trying to get the federal government into the driver's seat of the American society. 

The notion of "too many people skip care" because they "can't afford it" only seems to exist in these talking points/tv ads.  Many ILLEGAL immigrants are getting the health care they need, free of charge.  Well, not free of charge, it came out of my pay check!

2.  The plan the President laid out includes the largest health care tax cut for middle class families in history and makes coverage more affordable for tens of millions of families and small business owners and expands coverage to over 31 million Americans who are currently uninsured.

Federalizing 1/6 of our economy is not a tax cut for the middle class!  Health care costs are high because we are in desperate need of TORT reform.  Frivolous lawsuits against doctors cause doctors to have more mal-practice insurance.  To pay these premiums, they need to have more income.  Therefore, health care costs MUST increase.  If you want health care to be more affordable - bring us TORT reform!  Nationalizing health care only deals with the symptom (and very poorly at that). 

Secondly, it is said that over 31 million Americans who are uninsured would now have coverage expanded to them.  This is prime territory to cause a Lib to jump ship and go to another point.  Here is the poignant question:  What is the reason for being uninsured?  Is it because when the poll was taken, many were in between insurance plans and have since gotten insurance?  Is it because those who used to have work coverage lost their benefits due to tax increases and increased federal regulations on businesses?!  According to http://pn.psychiatryonline.org/content/38/12/1.2.full about half of this number are just in and out of coverage - shopping for lower rates, changing jobs, etc.  So, that takes our number to 15 million uninsured.  What is interesting is that unemployment has been at 10%.  10% unemployment equals out to be about 15 million people.  (http://cbs11tv.com/national/unemployment.10.percent.2.1299266.html) So, it would seem to reason that if we fix unemployment, we fix the number without insurance.  Companies, however, are afraid to hire because any profits gained are in the cross-hairs of Obama.  What's the point of making profit just to have it taken away?!  Exactly, there is no point - therefore, there is no point in hiring any new workers.

3.  This plan will give millions of Americans new choices in health insurance by making coverage more affordable, ending the denial of coverage for pre-existing conditions, putting power in the hands of consumers instead of insurance companies and providing one of the largest tax cuts in history while also reducing our national deficit.

This is the most asinine group of words I've ever read.  Pre-existing conditions exists as a way to KEEP COSTS LOW!  I sell life insurance.  We can offer term plans for pennies on the dollar per thousand because of requiring great health.  If an insurance company is forced to take on ALL risks, premiums will go UP!!  How else is the insurance company going to pay for the claims that will be hobbling in day after day?!  Secondly, this puts the power in the consumer's hand??  The power is already there!  If you don't like the health coverage you have, then go down the street and buy from someone else!  You decide where your dollar is spent, not the insurance companies.  And, thirdly, this will reduce our national deficit?!  How does government spending reduce our deficit?  Obama has already taken our deficit, sorry libs, well past your coveted Bush deficit.  You honestly think Obama is worried about the national deficit?! 

 

4.  Reform couldn’t be more urgent – just this month consumers in California were told their premiums could go up as much as 39 percent.

Then go buy from someone else!  What about tax rates that just went up because you let the Bush tax cuts expire?  Don't patronize us about reform because rates are increasing.  IF WE HAD MORE OF OUR MONEY, WE'D HAVE THE MONEY TO PAY FOR BETTER HEALTH INSURANCE!

 

5.  Too many in Washington are now saying that we should delay or give up on reform entirely, but Americans understand the stakes for our economy and our lives, and we want action

 

Americans do NOT want this bill!  Even Obama at the health care summit said he would just ram it through if he didn't get the cooperation he wanted.  Too many in Washington are out of touch with their voting base and come November, they will be out of touch with Congress.

 

Don't back down from these guys!  Hold their feet to the fire!