Voters have given Republicans control of the House of Representatives, the Senate and now the White House. Frustration with Obamacare has helped propel Republicans into office as they promise to repeal the monstrosity of a bill that is burdensome on small businesses and the middle class.
Although Blackwell was a Domestic Policy Advisor for the Trump Transition Team, he is not in favor of the current bill as he doesn’t believe it addresses the biggest problems of Obamacare.
“Obamacare is falling apart on its own, thanks largely to the 10 essential benefits mandates that must be included in all insurance packages or face large penalties. These requirements range from maternity care to sex-change operations, regardless what the health care customer needs or wants. These mandates limit options and make insurance vastly more expensive, which is compounded by rules that mandate coverage for those currently sick or with preexisting conditions. Obamacare requires that these unhealthy people cannot be treated differently than anyone else, which results in healthier and younger people paying even higher premiums.
These bad issues with Obamacare are only compounded, as it incentives people to not buy insurance until they are sick, as the insurance companies have to sell them coverage at the same rate as if they were healthy. Imagine what the result would be if people could buy fire insurance while their house is on fire or extra car insurance after a serious crash. For insurance companies, that is not a sustainable business model.”
Blackwell praises the bill for removing the mandate for employers with more than 50 employees and the expansion of HSAs, but there is much more that should be done to revamp this very flawed system.
Blackwell believes true reform includes a full repeal of Obamacare and free market reform that focus more on individual choices rather than employer based insurance options.
“This is a reminder of what happens when government gets in the way of market solutions. If insurance companies had flexibility, people could buy coverage across state lines and only for the coverage they need. Those living in poverty could buy private insurance through vouchers, and high-risk pools could provide care for those with pre-existing conditions.
These types of market-based changes would accelerate improvements if employees could control insurance options, instead of their employers. The insurance tax deduction should shift away from businesses and instead be directed at individuals who can carefully decide what type of coverage they want and how much they wish to contribute to tax-free health savings accounts (HSAs).
Free-market reforms would put the individual healthcare consumer in a position where more options are available at a lower price. By making health care pricing more transparent and encouraging the expanded use HSAs, health care consumers can make better choices while competitive market mechanism drive prices down.”
Congressional Republicans voted for a full repeal of Obamacare more than once, but now they appear to be balking at doing the same under a Republican President.