You can repost this if you agree, delete it if you don’t. I know it’s a bit soap box, but I’ve got to say it and you can judge what I say however you feel. I’ve heard the debate regarding Obamacare ad infinitum and quite frankly I’m tired of the misrepresentations of what it is and isn’t. It quite clearly isn’t about healthcare and it isn’t about insurance. It’s about control of the populace by the government. George Orwell’s predictions are closer to complete reality. Big Brother is indeed taking control of all aspects of our lives. Unfortunately a great many of us are giving away our freedom in exchange for the latest false promise of government largess. Despite statements to the contrary, Obamacare has nothing to do with insurance. Insurance is something one purchases to guard against catastrophic loss. It is a form of risk transference. The insurance company agrees to accept the risk of your loss in exchange for a premium payment. Through actuarial calculations, the insurance company determines a price for accepting your individual risk compared to all policy holders and charges each a premium. When all the premiums are added together, the insurance company knows that the total premiums collected will exceed the total losses paid. The difference is the insurance company’s profit. Our illustrious president has said that you couldn’t keep your insurance because the companies were selling substandard policies clearly indicating that the companies were ripping off the policy holders. Actually, each individual had negotiated with the company to design a policy that transferred varying degrees of risk from the individual to the company based on the policy holder’s ability to pay the premium and the actuarial calculation of the price it took to allow the company to accept that risk while allowing for an acceptable level of profit. The price was established by the market, the probability of loss, and the number of persons in the class (those wishing to transfer similar levels of risk). In the early days of health insurance policies were designed to deal with catastrophic loss. Some people, rather than disciplining themselves to save for minor disruptions to their personal budgets preferred to transfer even minor risk (doctors’ visits, emergency room visits for minor injuries, prescription drug payments for short term illnesses, etc.) wanted to purchase insurance that paid even these minor costs. Insurance companies willingly offered products that filled these wishes and offered significant profits for the companies. In effect what this product was, was not truly insurance but prepaid medical care. Obamacare is just that; prepaid medical care. Somehow, liberals have concluded that all people (including illegal aliens) are entitled not to insurance against catastrophic loss, but to prepaid medical care and that people who for personal economic reasons had previously determined that they did not wish to purchase prepaid medical care but instead wanted only insurance against catastrophic loss are no longer entitled to that personal decision. The problems arise when you recognize that when something costs you nothing and can be replenished without personal effort or sacrifice on your part, then there is no incentive to conserve that resource. Nothing in the Affordable Care Act expands or replenishes the (healthcare) resource. All it does is increase the number of persons utilizing the prepaid healthcare resource and transfers the cost to the American taxpayer. Unlike the insurance companies who previously willingly accepted this risk in exchange for a profit, the taxpayer gets nothing in return. In fact, the taxpayers; the ones footing the bill are guaranteed to have worse healthcare because of the failure of the ACA to do anything to expand the prepaid healthcare resources while tremendously expanding the user base. Welcome to socialism!
Posted on: Sat, 02 Nov 2013 15:24:44 +0000
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