Barack Obama made a lot of promises when he was selling the Affordable Care Act to the American people. The most famous one was, If you like your health care plan, you will be able to keep your health care plan. Period. No one will take it away. No matter what.”
Well, that promise turned out not to be true and I can tell you that from personal experience.
Originally, my health insurance provider told me that my plan wasn't going to be canceled. The agent just said it wouldn't qualify under Obamacare and so, I'd have to pay a tax to keep it. That tax is a bit more substantial than you may have heard. If you don't have health insurance that meets the standards of Obamacare or isn't covered at all, the tax isn't just $95 next year; it's $95 or 1% of your income -- whichever is higher. Of course, that's just what it costs on year one. By 2016, the tax will be $695 per person or 2.5% of your income, whichever is higher.
Incidentally, that breaks another famous promise that Barack Obama made when he was originally running for office. Back then, he said, "I can make a firm pledge. Under my plan, no family making less than $250,000 a year will see any form of tax increase. Not your income tax, not your payroll tax, not your capital gains taxes, not any of your taxes."
It's also worth noting that tax wouldn't be what I would pay for refusing to buy insurance; that's the tax I would pay to continue being insured under a plan that doesn't meet the standards of the Affordable Care Act. Unfortunately, I didn't even have that option. A few days ago, I received a robo-call from my health insurance provider telling me there are going to be changes to my health care plan beginning at the start of the year because of the Affordable Care Act. After calling in, I found that the "change" is that my plan is being cancelled.
It's difficult to blame my insurance company for that. After all, it's hard for a service to be viable when the government forces consumers who buy it to pay a massive new tax for the privilege.
So, since my old plan is going away, I asked what the cheapest comparable plan that meets the standards of the Affordable Care Act will be. As you might suspect, there is a substantial price increase involved.
Currently, I pay $191 per month. That will go up to $274. That's nearly $1000 a year more for a service that I already have. In addition, the deductible on my current plan is $200 and that will be going up to $6000.
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