Obamacare premiums in California will increase by 13% in 2017
The affordable health insurance program, known as Obamacare, for 2 full years, led to a significant decrease in the number of uninsured citizens in California. If at the end of 2013, about 17% of Californians did not have insurance, then at the moment there are slightly more than 8% people without insurance.
However, next year, California residents will see an average increase in insurance premiums under the regional Covered California program by 13,2% - that is, 3 times more than in the last two years.
According to the authorities, this may lead to higher prices for medical services, including special list drugs. The impact of these changes on consumers depends on whether they receive subsidies and whether they want to switch to a less expensive insurance plan.
It is expected that the cost of insurance will increase in other states, but accurate data will be available later. The healthcare.gov portal provides Obamacare services to 38 state residents. California and several other states have their own programs.
An analysis of data from 14 metropolitan areas conducted by the Kaiser Foundation showed that, on average, the increase in insurance premiums in 2017 will be 11%, but the spread across regions is quite large - from a 26% increase in prices in Portland, Oregon, to a drop in prices for 14% in Providence, Rhode Island.
Registration for the next year on Obamacare programs begins a week before the election of the US president, and the most likely candidate from the Democratic Party, Hillary Clinton, intends to extend the law adopted by Barack Obama. Her opponent among Republicans Donald Trump, by contrast, promises to repeal him.
Covered California chief executive Peter Lee said in July that 2017 would be a "transition" year for Obamacare.
According to him, one of the reasons for the increase in insurance premiums is the completion of the program, which kept prices at the same level during the first 3 years of operation.
Some insurers, as stated by Lee, did not receive all contributions from consumers, because they did not have complete information on the prices of medical services for those or other insured.
In addition, Peter Lee laments the rise in the cost of medical services throughout the country, which far exceeds the rate of inflation.
In may like reported by ForumDaily, a court in the District of Columbia ruled that the Barack Obama administration allows for “unconstitutional spending” from the federal budget to finance an affordable health insurance program known as Obamacare.
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