ObamaCare’s impact on health costs.
“Faced with the rising costs of generic prescription drugs, health insurers increasingly are turning to tiers and preferred lists on their formularies to keep costs down. Those strategies previously were used only for brand-name and specialty drugs. Experts say those approaches will increase out-of-pocket costs for patients and could make them less likely to adhere to drug regimens.
For years, insurers have encouraged patients to choose generic drugs because they were less expensive than their brand-name counterparts, and most prescription drugs currently used are generics.
But over the past year the cost of generic drugs has skyrocketed, including for products that have been on the market for many years. A study by Pembroke Consulting comparing CMS data for average generic drug acquisition costs between July 2013 and July 2014 found that half of the generic drugs listed rose in cost, with the median increase nearly 12%. Some drug prices saw extreme increases. For instance, the per-unit price for a 500 mg capsule of tetracycline, a common antibiotic, increased from $0.05 cents to $8.59, a more than 17,000 % increase.”
“Health Reform: Wal-Mart says it’s cutting health benefits to part-timers and boosting worker premiums. If a retail empire built on low prices can’t find a way around ObamaCare’s added costs, we are all doomed.
The world’s biggest retailer announced this week that its health costs will be about 48% higher for the current fiscal year than it had expected in February. As a result, it’s cutting 30,000 part-timers from its health benefit plan, raising worker-paid premiums by 19% and trimming its co-payment for health costs above the deductible.
“We had to make some tough decisions,” benefits director Sally Wellborn told the Associated Press. But to hear President Obama tell it, Wal-Mart just didn’t shop around.
That, at least, was what he said when the general manager of the Indiana-based Millennium Steel asked Obama last week about the company’s double-digit premium hikes.
Obama’s response: “The question is whether you guys are shopping effectively enough.””
“Consumers keep price top of mind when they purchase prescription drugs and they’re unafraid to buy against the big labels, a new Morning Consult poll found.
Nearly three quarters of respondents said if given the choice between a brand name drug and a generic version, they’d be more willing to choose the generic version. What’s more, 65 percent of respondents disagreed that brand name drugs were more effective than generic drugs.”
“There are obvious benefits to getting health insurance at work. For one, employer-sponsored insurance is not taxed, meaning that every dollar of compensation provided as medical coverage stretches further. Individual market plans, meanwhile, are purchased with post-tax dollars. The only way to get in on the tax exemption is to buy coverage at work.
But for low-wage workers, Obamacare has introduced a new and big drawback to the employer insurance. Namely, anybody who gets access to affordable coverage at work is barred from getting subsidies through the new exchanges. This is even true for people who don’t buy insurance at work; just the act of getting offered employer coverage blocks individuals from using getting financial help.”
“Some health insurers are having trouble finding doctors and hospitals to accept low rates under Gov. Tom Corbett’s Medicaid expansion plan, leading one company to quit the program and another to reduce participation.
Highmark Inc., the state’s largest health insurer, said it won’t participate in Corbett’s Healthy PA program because it couldn’t sign enough doctors to its network. Healthy PA is an alternative to Medicaid expansion under the Affordable Care Act, proposed by Corbett and approved by the federal government in August, in which private insurers provide coverage to Medicaid recipients.”
“JACKSON, Miss. Groups supporting low-income Mississippi residents said Tuesday that elected officials are ignoring 300,000 people and refusing billions of federal dollars by choosing not to expand Medicaid in one of the poorest states in the nation.
If the state were to extend Medicaid, as allowed under the health overhaul that President Barack Obama signed into law, many low-wage workers could receive coverage that would enable them to afford doctors’ visits, prescriptions and medical supplies, said Roy Mitchell of the Mississippi Health Advocacy Program. He said bus drivers, cashiers, day care workers and many others are in jobs that provide modest paychecks but no health insurance coverage.”
“President Obama and some of his most ardent media acolytes are insistent. No matter what you may have heard, Obamacare ‘is working’ in the ‘real world.’ That’s the new mantra. Learn it, love it, etc. The Lean Forward network, unsurprisingly, has served as the vanguard of this propaganda push. Their working theory seems to be that if you repeat an assertion often enough to the same tiny audience, you can wish-cast your dreams into reality:”
“Thousands of consumers who were granted a reprieve to keep insurance plans that don’t meet the federal health law’s standards are now learning those plans will be discontinued at year’s end, and they’ll have to choose a new policy, which may cost more.
Cancellations are in the mail to customers from Texas to Alaska in markets where insurers say the policies no longer make business sense. In some states, such as Maryland and Virginia, rules call for the plans’ discontinuations, but in many, federal rules allow the policies to continue into 2017.”
“If Washington is ever going to tackle entitlement reform and get federal spending under control, it must start with Medicare.
The former director of the Congressional Budget Office, Doug Holtz-Eakin, details Medicare’s fiscal plight:
Between 2001 and 2010, Medicare’s cumulative cash flow deficits totaled more than $1.5 trillion – or 28% of the total federal debt over the past decade.
But it gets worse: By 2020, as Baby Boomers continue to age into Medicare at the rate of more than 10,000 a day, Medicare’s cumulative $6.2 trillion in cash flow deficits will constitute 35% of the nation’s total debt accumulation.”
“Meal, drink, tip … insurance?
Some Los Angeles restaurants are adding a 3 percent surcharge to diners’ tabs in order to cover employees’ health insurance.
The owners of the restaurants deny that the additional charge is a “political statement” about the Affordable Care Act, saying it’s merely a way to provide for their employees.
“We want our staff to have health care,” Josh Loeb, a co-owner of the restaurant Milo & Olive told the Los Angeles Times. “It’s not because we support Obama or don’t support Obama, or are Democrats or are not Democrats.””