ObamaCare’s red state rate squeeze

11/5/13
 
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from FoxNews,
11/5/13:

STUDY FINDS OBAMACARE premiums will be highest in states that did not vote for President Obama, prompting some lawmakers to say it proves ‘law picks winners and losers’ across the country.

Experiencing sticker-shock at the price of insurance on ObamaCare exchanges?

That’s more likely if you live in a “red state” that didn’t vote for Obama, according to price data compiled by the Heritage Foundation. In red states, premiums for 27-year-olds rose an average of 78% on ObamaCare exchanges, whereas in “blue states” that voted for Obama, premiums rose a smaller 50%.

Senate critics of ObamaCare say the difference is one way in which the bill is unfair.

“It’s unfair, outrageous and unacceptable,” Senator John Barrasso, R-Wyo., who is also an orthopedic surgeon, said in a statement to FoxNews.com.

“After discovering that the President broke his promise that Americans can definitely keep their coverage, many red state Americans are now finding out that their rates will soar under ObamaCare. This… proves once again that the President’s health care law picks winners and losers across the country,” he added.

Health policy experts say the reason red states got hit hardest is that they had fewer regulations to begin with.

“Think about it this way, what does ObamaCare do? ObamaCare imposes a one-size-fits-all regulatory scheme upon the insurance market. So if you’re in a lightly regulated state today, all of a sudden it’s going from a lightly regulated system to a heavily regulated system, and that drives up a lot of the costs,” Avik Roy, a senior fellow at the Manhattan Institute who specializes in health policy, told FoxNews.com.

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