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October 23, 2013

HealthCare.gov 'dramatically underestimates costs in new estimate feature

Topics: Political News and commentaries

The screw-ups at HealthCare.gov just keep on coming.

After hearing a barrage of criticism over having to completely enroll before seeing premium prices, HHS added a premium estimator on the front page of the website. However, unless you are exactly 27 or 50 years old, the estimates you get will wildly underprice what you'll actually be forced to pay (hat tip - Ed Morrissey).

CBS reports that the situation is so bad that industry analysts can't believe what they are seeing:

As President Obama promises to fix HealthCare.gov, his administration is touting what it calls "improvements" in design, specifically a feature that allows you to "See Plans Now." White House press secretary Jay Carney has said, "Americans across the country can type in their zip code and shop and browse."

Industry analysts, such as Jonathan Wu, point to how the website lumps people only into two broad categories: "49 or under" and "50 or older."

Wu said it's "incredibly misleading for people that are trying to get a sense of what they're paying."

Prices for everyone in the 49-or-under group are based on what a 27-year-old would pay. In the 50-or-older group, prices are based on what a 50-year-old would pay.

CBS News ran the numbers for a 48-year-old in Charlotte, N.C., ineligible for subsidies. According to HealthCare.gov, she would pay $231 a month, but the actual plan on BlueCross BlueShield of North Carolina's website costs $360, more than a 50 percent increase. The difference: BlueCross BlueShield requests your birthday before providing more accurate estimates.

The numbers for older Americans are even more striking. A 62-year-old in Charlotte looking for the same basic plan would get a price estimate on the government website of $394. The actual price is $634.

Meanwhile, I suppose we're suppose to have faith that the design of Obamacare is going to function as promised when the design of its website continues to be a debacle ... which, of course, would be a big mistake.

As Aaron Goldenberg points out at Freedom Works, essentially everything conservatives predicted about Obamacare is coming true ... and that is not bode well for what's to come under the badly planned, poorly constructed law.

Posted by Hyscience at October 23, 2013 4:31 PM



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