The Un-Affordable Care Act for NC in 2016

Many of you have gotten, or will get, a letter from Blue Cross and Blue Shield of North Carolina that explains changes that will be made to your existing policy for the year 2016. If you like your current plan, you do not have to do anything- but that is not to say things will be the same as they were in 2015.

You will get a rate increase. The reason that BCBSNC gives for the premium hike is that the cost of health care is rising. "Any increase in the cost of services or number of services used can mean an increase in premium rates for our members-and we've seen a large increase in both in the past year." That large increase that BCBSNC has seen is going to reflect in your premiums. Most private BCBSNC plan premiums have increased by 30-40%. My own premiums will increase by $150 per month.

You will have fewer choices when purchasing a new health insurance plan for 2016. Particularly at the Silver level, you will find that you have fewer plans to choose from, and that the coverage isn't nearly as good. Deductibles are higher and there are fewer plans with moderate copays for primary care etc.

Blue Cross and Blue Shield is the largest health carrier in the country-but they are seeing their profits dip, and have already pulled out of states like New Mexico, parts of California, and they no longer offer PPO(Preferred Provider Organization) Plans in Texas. Rumor has it that North Carolina could be next on BCBS's black list. That would leave United Healthcare and Coventry Health Care(for some parts of NC) as the companies that sell health insurance on the government's Marketplace. United Healthcare's prices are no better than BCBSNC, and for whatever reason I can't get a quote from Coventry Health Care. I have a feeling they are probably not going to be offering health plans in North Carolina much longer either, from the looks of things. Assurant Health Care, who we used to write policies through up until last year, has already stepped out of the private health care business altogether!

Those of us that understand how health insurance works could have predicted(and probably DID predict) that this would happen. More people were enrolled in health insurance than ever before in 2015, and because so many more people have health insurance, more people are going to the doctor and getting treatment. This is a good thing! However, because more people are filing claims with their health insurance plans, the insurance companies are paying more out to doctors and facilities than ever before. Insurance companies' increased costs are being passed down to the consumers: to you and to me.

Now, one of the ideas behind the Affordable Care Act is that, as more people have health insurance, more people will go to the doctor for physicals and to get treatments; and because more people will be going to the doctor and receiving treatment, our country will be healthier in the long run. Over time, these healthier people will be filing fewer and fewer claims, which will drive down the cost of healthcare, and also health insurance. Perhaps this will happen-but if it does, it will be the next generations that enjoy it. For now, all this means is that all of the unhealthy people that couldn't afford health insurance before, or couldn't qualify because they have a "pre-existing condition", are now insured and filing claims, driving up the cost of healthcare for everyone.

We had better get used to this annual premium increase, because every year it will happen until we reach that dream of a healthier America. But beware, America-this is going to be a difficult pill to swallow.