Obamacare ‘horror’ story turns out to be Obamacare success story

[BlueStreak]

2. I repeat -- The difference between pre=ACA and ACA policies is

With ACA policies, the consumer gets a clear, precise, certain number for maximum out-of-pocket expenses no matter what happens to them.

In the pre-ACA world, it was the INSURANCE COMPANIES that were able to cap THEIR out-of-pocket costs, although you had to be a true insurance expert to dig that deeply into the fine print.

How could we even begin to try to compare those things? It is like comparing bugles and flashlights. The ACA policies protect the consumer. The pre-ACA policies do not in the vast majority of cases where the individual has to purchase the policy.

Obviously the insurance companies don't like open-ended risks. They much prefer automobile liability where they can stop at the state maximums. However, in most states, there are caps on the liability that an insurer is at risk for. There are no such caps on how much it can cost to care for a sick person. So we require the insurance companies to accept the full risk, and we allow them to price their policies as they see fit. In some cases, the price for actual, real coverage is more than the cost for a worthless junk policy. Surprise, surprise !!

The only surprise is that in many markets people are finding they can actually get excellent coverage on the exchanges at affordable prices. But I guess that doesn't make such a compelling news story. Maybe if they threw some cute kittens into the coverage, it would work.