A new Congressional Budget Office (CBO) report estimates that private health insurance premiums will continue to balloon over the next decade thanks in large part to Obamacare.
The report states that, over the next 10 years, private health insurance premiums will increase by about 5 percent annually — a rate that outpaces the gross domestic product by 2 percentage points.
By 2025, employment-based coverage (health-care insurance an employer offers) will cost 60 percent more than it does today. For a family, that increase costs to an average of $24,500 per year. For those with an individual plan, health-care costs will increase to cost an average $10,000 per year.
What’s driving these price increases? Obamacare.
The CBO report states that Obamacare’s costly federal mandates on insurance companies — like forcing them to cover everyone regardless of preexisting conditions — increased costs of individual, or non-group, health-care plans (which account for 15 percent of all plans) by 27 to 30 percent.
Increased costs don’t just affect the families and individuals shilling out escalating amounts of cash for their plans, it also affects the national budget and taxpayers who subsidize them. The subsidies that the federal government offers to some people to pay for health insurance cost about $300 billion this fiscal year.
Obama campaigned on the promise that his namesake legislation would reduce health-care costs for the average family by up to $2,500 annually. Here’s a supercut in which he repeats that promise 19 times.
But as it turns out, the health-care law that was supposed to lower costs is actually doing the opposite. If only someone had predicted this earlier!