Dave Perkins on Government Health Insurance
From Dave Perkins
While half the country whines about not getting free or subsidized health insurance, it wouldn’t hurt to remind you that-
-Health insurance, like any insurance, is not the product itself. Health insurance isn’t health, or even health care.
-Health insurance is a mitigator for financial risk.
It’s a FINANCIAL PRODUCT, not a medical one. It is the exchange of small regular payments for the possibility that LARGE UNEXPECTED payments might come due. The insurance company takes responsibility for an agreed-upon amount of the possible large payments in return for the small regular payments to it. It “bets” that you will pay it more than it pays you, over the long term.
There is a risk, an uncertainty, of the large payments, which they balance against the CERTAINTY of the small ones. This is why “pre existing conditions”, for all their misery, are not on the table for actual insurance, could you buy car insurance after the car is wrecked, to pay for its repair? Could you buy homeowners insurance while your home was already on fire? No. The wreck, the fire, are no longer risks, so insurance isn’t what you’re asking for. It’s the same with pre-existing conditions, folks. You’re not asking for insurance, you’re asking for someone else to pay your certain medical bills.
That is Socialism. Not risk, but certainty.
Insurance mitigates risk. The only certainty is your premium payments. If you bring a CERTAIN cost to them because of a pre existing condition, they’d be forced to cover it by charging you a premium similar to your certain cost. Or else they wouldn’t sell you insurance.
Insurance is a risk mitigator. Stage four cancer is not risk, it’s certainty. It’s medical bills that need paying. Insurance doesn’t do certainty, only Marxism does that.
The bet the insurance company makes is made based on actuarial tables, which are just a mathematical record of how everyone has done in terms of health costs, how much at what age, etc. They charge enough to make a profit over the long term, and they can do it because the actuarial tables are reality and are very good predictive tools. They give predictability to the risk.
The company might lose millions on one person, and then make millions on millions of OTHER people who don’t get sick or injured, but in the end they make a profit or go out of business.
When they are ORDERED by government to do things that the actuarial tables say they shouldn’t (like accept customers with pre existing conditions), they absolutely MUST raise their rates, or go out of business. Because their business is based on literally hundreds of years of math, they cannot survive if they are ordered to go against the math…
…unless they increase their rates.
They can’t really overcharge you, not in the long term, because there is competition — other companies who can lower their rates and draw away your customers. There is downward pressure on rates because of competition.
Except… some people are going out of business now, under Obamacare, and others are getting out of the exchanges because they WOULD go out of business if they stayed in. So… the “downward pressure” on pricing is disappearing. Obama’s pipe dream (or “lie”) about cutting the annual cost by an average of $2,500 per household is and always was insane. What Obama planned to unleash on us was always going to INCREASE the rates of those who pay.
Why? It orders that everyone buy from a very small number of choices, each of which contains options you have to pay for but probably don’t want. (as a 56 year old male, I don’t want pregnancy protection, for example, but Obamacare orders that men like me pay for it.) It has legally eliminated the option of very high deductible “catastrophic” insurance, where premiums are low because most ordinary doctor visits aren’t submitted as paid claims. That was a favorite policy of laborers with families, able to go to doctors for cash to get their kids treated for colds and such, and only wanting/needing protection against huge unexpected bills. Obama said no. He ordered subsidies to pay for the more expensive premiums of the better policies he thought these laborers deserved but couldn’t afford because of racism, bias, prejudice, etc. He felt that we productive people were holding the lower classes back because we didn’t like them, and so he ordered us to pay for their insurance… simultaneously taking FROM them the insurance they WANTED, and taking from US the insurance WE wanted. (“If you like your insurance, you can keep your insurance”, he lied.) 85% of Americans said they LIKED the health care system as it WAS, prior to the passing of Obamacare.
85% isn’t the ONE PERCENT, folks, it’s almost EVERYBODY.
By folding in racism, prejudice and bias to the long-working, tried and true method of actuarial table analysis, he has altered insurance from a financial instrument of risk mitigation to a social instrument of marxist redistribution. Of COURSE the cost has gone up, and will continue to. Of COURSE some companies are failing and others are fleeing Obamacare. Of COURSE it’s collapsing.
a) it’s MARXISM and will never work, and
b) they never intended it to work.
They built it to destroy the industry, so they can then come and say “we’re sorry, we didn’t want to do this, but the free market hasn’t worked, and so now we introduce “all government, all the time” health insurance. Pay your premium to US, see OUR doctors, let OUR panels of experts decide your medical care, and finally you don’t have to be at the mercy of the market”.
They want single payer, universal health care, government in charge of it all. Obama said so as far back as 2007 and the recordings are out there. I have some of them. He spoke to unions and other groups and declared “we can’t do it right away, it might take fifteen or twenty years to get America away from job-related insurance, but we’ll get it done in time”.
Obamacare, if left in place, will result in British or Canadian style “national health care” after a certain number of years (it’s already been more than six).
That was its PURPOSE. To destroy the system and replace it with government.
Chaos, then tyranny.