The Problem: Because of adverse selection and pent-up demand, health insurance premiums are unaffordable and benefits have been reduced to catastrophic care. People will stop purchasing health insurance and pay the tax penalty. This will further limit and skew the risk pool adversely, further driving up premiums. Premiums have risen in large part because insurance companies can no longer deny coverage because of pre-existing conditions—a very popular requirement of the Affordable Care Act. (more…) Continue Reading →
