medicaid – The Burning Platform

Why Obamacare’s “20 Million” Number Is Fake

Submitted by Genevieve Wood via DailySignal.com,

Liberals are notorious for caring about “groups” of people, but when it gets down to individual persons, not so much. You’re about to see this play out in spades as Democrats cry crocodile tears over the coming repeal of Obamacare.

You hear it over and over again: “This will be catastrophic for the 20 million people who were previously uninsured but now have coverage! You can’t take away their health care!”

First of all, no one is talking about doing that. Any repeal legislation will have a transition period for those who got coverage through Obamacare to move to new plans. And second, they will have more choices and better options. Win. Win.

But liberals would rather focus on quantity, how many millions we’ve given something to, versus quality, what does that “gift” mean for individual people.

The Obama administration claims 20 million more Americans today have health care due to Obamacare. The reality is that when you look at the actual net gains over the past two years since the program was fully implemented, the number is 14 million, and of that, 11.8 million (84 percent) were people given the “gift” of Medicaid.

Continue reading “Why Obamacare’s “20 Million” Number Is Fake”

THE ANTI-CINDERELLA MAN (PART TWO)

In Part One of this article I made a fact based case that most Americans are experiencing an economic depression on par with the Great Depression of the 1930’s. In Part Two I will compare and contrast two very different men who raised the spirits of the common man during difficult economic times. As we approach the perilous portion of this Fourth Turning, it will take more than hope to get us through to the other side.

Cinderella Man

Likening Braddock to Trump might seem far-fetched, until you think about parallels between the economic conditions during the 1930’s and today, along with the deepening mood of crisis, despair and anger at the establishment. Braddock’s career coincided with the last Fourth Turning. James J. Braddock was born in 1905, to Irish immigrant parents Joseph Braddock and Elizabeth O’Toole Braddock in a tiny apartment on West 48th Street in New York City. His life personified that of a GI Generation hero. One of seven children, Jimmy enjoyed playing marbles, baseball and hanging around the old swimming hole on the edge of the Hudson River as a youngster. He discovered his passion for boxing as a teenager.

Braddock refined his skills as an amateur fighter and in 1926 entered the professional boxing circuit in the light heavyweight division. Braddock overwhelmed the competition, knocking out multiple opponents in the early rounds of most fights. As a top light heavyweight, he stood over six feet two inches, but seldom weighed over 180 pounds. But his powerful right hand was no match for opponents that weighed close to 220 pounds. His star was ascending. He earned a shot at the title in 1929. On the evening of July 18th 1929, Braddock entered the ring at Yankee Stadium to face Tommy Loughran for the coveted light heavyweight championship. Loghran avoided Braddock’s deadly right hand for 15 rounds and won by decision. Less than two months later the stock market crashed and the country plunged into the Great Depression.

Continue reading “THE ANTI-CINDERELLA MAN (PART TWO)”

THE ANTI-CINDERELLA MAN (PART ONE)

There are several movies I will watch every time they are aired on one of my generally useless 600 cable channels. They all have the same thing in common – a compelling character portrayal which keeps you riveted and mesmerized by how the protagonist deals with adversity and circumstances beyond their control. The movies I can’t resist include: The Godfather I & II, The Green Mile, Shawshank Redemption, Apocalypse Now, and Patton. Another captivating movie, which didn’t do well at the box office, is Cinderella Man. The portrayal of Depression era heavyweight boxing champion James J. Braddock by Russell Crowe is inspirational, with a rousing and improbable victory by the champion of the common man. While watching this great movie a few weeks ago I found myself equating the themes to the current presidential campaign.

The Greater Depression

Braddock was an inspiration to all downtrodden demoralized Americans during the Great Depression. The parallels between the 1930’s Great Depression and today’s Greater Depression are uncanny, despite the propaganda emitted by the establishment politicians, media and banking cabal that all is well. The corporate mainstream media faux journalists scorn and ridicule anyone who makes the case we are currently in the midst of another Great Depression. They are paid to peddle a recovery narrative to keep the masses ignorant, sedated, and distracted by latest adventures of Caitlyn Jenner and the Kardashians. An impartial assessment of the facts reveals today’s Depression to be every bit as dreadful for the average American as it was in the 1930’s.

Continue reading “THE ANTI-CINDERELLA MAN (PART ONE)”

GOVERNMENT IS THE PROBLEM

Here are two charts that show how successful, government solutions are for the citizens of this country. First off, even according to the manipulated and under-reported CPI figures, you have lost 65% of your purchasing power since 1978. Using a real measure of inflation, its closer to 85%, but why quibble. You are slowly but surely being impoverished by the Federal Reserve (aka Wall Street bankers) and the corrupt politicians you elected to represent your interests.

Doug Short presents the cost of college tuition, medical care and new cars over the last 38 years. One of these things is not like the other. The second chart shows the growth in Federal loans to students since 1995. You may notice that prior to the Federal government getting involved in college education, college tuition rose steeper than overall inflation but only by a moderate amount. My tuition at Drexel University in the mid-1980s was in the mid $5,000 range. I was able to work and pay the majority of my tuition, with only a couple thousand dollars in loans.

If you are perceptive (that leaves out all libs and government employees) you will notice that as the Federal government has doled out more loans, the cost of college tuition has skyrocketed. You see, just like welfare, you get more of what you subsidize. If the federal government is willing to give your tax dollars to every Tom, Muhammed, or Laquesha to go to college, demand will rise. Since the supply is limited, colleges can raise prices dramatically as they know the Feds are supplying the paper.

Continue reading “GOVERNMENT IS THE PROBLEM”

BAILOUT NATION

If the economy is growing and corporate profits are at all time highs, why did the cumulative deficit of the PBGC double in the last year? This fake corporation (aka Fannie & Freddie) is bleeding cash to the tune of $62 billion. You are on the hook. Even though Obama and his minions report declining deficits, these numbers are nowhere to be found in the deficit numbers, even though they will need to be bailed out by the Federal government. Imagine the losses when the financial system cracks again.

So the company that bails out defunct pension plans needs a bailout. Of course, as you can see by the truly shocking charts below, the entity bailing them out is also insolvent. Who bails out the entity that bails out the pension bailout entity?

Do you see what a farce this has become?

I think it is time to bailout on this fucked up system.

US Pension Insurer Needs a Bailout

By Pater Tenebrarum

A Growing Shortfall

The Pension Benefit Guaranty Corporation is insuring the pensions of more than 40 million Americans employed in the private sector that have defined benefit pensions. We hadn’t been aware that it has run deficits for 12 years running, but it apparently has – and it is adding up. At the moment, the fund has a cumulative deficit of $62 billion. It has reportedly doubled just over the past year:

“The deficit run up by the federal agency that insures pensions for about 41 million Americans has nearly doubled, to $62 billion. And the agency says that without changes, its program for pension plans covering 10 million of those workers will be insolvent within 10 to 15 years. It was the widest deficit in the 40-year history of the Pension Benefit Guaranty Corp., which has now run shortfalls for 12 straight years. The gap grew wider in recent years because the weak economy triggered more corporate bankruptcies and failed pension plans.

If the trend continues, the agency could need an infusion of taxpayer funds to pay retirees, who are guaranteed their pensions by law. The PBGC said Monday that the increased deficit was due to worsening finances of some multi-employer pension plans, which are pension agreements between labor unions and a group of companies, usually in the same industry. The $62 billion deficit reported for the year ended Sept. 30 compared with $36 billion in the previous fiscal year. Labor Secretary Thomas Perez said fixing the problem is vital to the retirement security of the nation’s middle-class. Agency officials called for Congress to enact legislation submitted by President Barack Obama designed to shore up the program’s finances. The PBGC was created in 1974 as a government insurance program for traditional employer-paid pension plans, which have become much less common in recent decades as most employers turn to retirement accounts such as 401(k)s.

The traditional plans are most prevalent in industries such as auto manufacturing, steel and airlines. If an employer can no longer support its pension plan, the PBGC takes over the assets and liabilities, and pays promised benefits to retirees up to certain limits. The agency didn’t name the multi-employer plans that it expects to run out of money or how many are involved. It said they represent a minority of the total 1,400 or so multi-employer pension plans, which cover about 10 million workers. “Plans covering over 1 million participants are substantially underfunded, and without legislative changes, many of these plans are likely to fail,” PBGC Acting Director Alice Maroni said in a statement. The agency said in its annual report that it has “sufficient liquidity to meet its obligations for a number of years.”

The agency said the deficit in its multi-employer insurance program jumped to $42.4 billion in the budget year that ended on Sept. 30, from $8.3 billion in 2013. By contrast, the deficit in the single-employer program shrank to $19.3 billion from $27.4 billion as the economy strengthened. The PBGC reported that its pension obligations grew by $30.9 billion in fiscal 2014, to $151.5 billion. Assets used to cover those obligations increased by only $4.9 billion, to $89.8 billion. Rep. John Kline, R-Minn., chairman of the House Education and Workforce Committee, called the multi-employer insurance program “a ticking time bomb that will inflict a lot of pain on workers, employers, taxpayers and retirees if Congress fails to act.”

(emphasis added) To summarize: in spite of its $62 billion deficit, the insurance fund will only be insolvent in another 10 to 15 years, ceteris paribus. Although this qualification is not mentioned above, it is an important one. What if the economy suffers another severe downturn, which seems a nigh certain outcome of the many years of bubble blowing by assorted central banks? Even in the muddle through scenario currently assumed to continue, the fund will require a tax payer bailout (this is what “Congress needs to act” means). We wonder how the fund invests its assets, given the rather paltry growth of same (after all, it also receives fees from the companies the pension plans of which it insures).

Conclusion:

We actually come across stories bemoaning the underfunding of pension plans on a regular basis. This is a problem that not only concerns defined benefit plans. Now we learn that the insurer of these pension plans is actually busy going down the drain as well. However, the government, which is supposed to bail the insurer out, has also begun to bleed red ink in its social security fund – and that deficit is going to grow and grow for many years to come.

Social security: from a surplus that was spent, to a deficit that is growing inexorably year after year – click to enlarge.

If one adds the projected medicare deficits to this, things look a lot worse still:

Social security and medicaid deficits combined – click to enlarge.

And now there is yet another hole that needs to be plugged. Charts by: Heritage Foundation, Wikipedia

OBAMA WAS RIGHT – MY TREND IS DOWN

My University operates on a July 1 to June 30 year. Therefore, our open enrollment for benefits started this week. Since our year crosses into 2015, we tend to be the canary in the coal mine for health insurance premium increases. I just logged on to see my new rates. I was breathlessly anticipating that $2,500 per family health cost savings I was promised by Obama in 2009 when he was selling Obamacare to the gullible masses. Sadly, I was disappointed once again.

It seems my SAVINGS is actually a 12% increase in my premiums. Being the fastidious financial person who has been using Quicken as my checkbook for the last 23 years, I am able to easily go back and see the increases in my monthly insurance premiums since Obama promised me those savings. Here are my increases since 2010:

2010 – 10% increase

2011 – 8% increase

2012 – 6% increase

2013 – 20% increase (12% premium increase and new $1,000 deductible instituted)

2014 – 12% increase

These increases are not for some gold-plated plan. I have the basic Keystone HMO plan. There are two other far more expensive options. I have to stay within the HMO network, get referrals, etc.

Isn’t it ironic that since Obama and his liberal minions jammed Obamacare down our throats in 2009, my annual cost for premiums is now $2,500 higher than it was in 2009? Maybe he mixed up his signs while reading the teleprompter back in 2009. This doesn’t even take into account my co-pays going from $15 per visit to $25 per visit over this same time frame. With a family of five, the number of doctors visits per year is substantial.

Obama touts how his law “allowed” kids up to the age of 26 to stay on their parents’ insurance plans. It didn’t allow anything. It forced insurance companies to expand coverage. They expanded the coverage by raising premiums on everyone. That was the 10% increase in 2010.

We now know the risk pool of those 7.1 million people who signed up for their “free” Obamacare is skewed towards older sicker people and not the young healthy people used to model the finances of Obamacare.

The 12% increase in my premiums is going to cover the skewed risk pool. These are the facts on the ground in the real world. And the reality of Obamacare hasn’t even really hit yet. Wait until 30% of the 7.1 million fail to pay their premiums. The insurance companies will be threatened by Obama to keep quiet about the non-payment and will just pass on the cost to the paying customers like you and me.

I happen to work for the largest employer in Philadelphia, with the most clout when it comes to negotiating insurance rates. If my premiums are going up 12% to 20% per year, imagine the increases hitting employees at small businesses. You understand why small businesses are closing down or not hiring new employees. Those still in business are just doing away with insurance for their employees and letting them sign up for Obamacare.

There is no way to describe Obamacare other than as an unmitigated disaster. And he has unilaterally changed the law by delaying the really bad mandated stuff until after the 2014 mid-term elections. We wouldn’t want the Democrats to stand behind their penultimate legislative accomplishment.

I’ve just addressed the financial aspects to a an average family. HZK and AWD can expound upon the horrible impact on doctors. Millions have poured into the Medicaid system, which will eventually bankrupt the states and limit the care options to practically nothing for the poor. The quality of care will deteriorate rapidly as Obamacare reaches its zenith.

But my increase declined from 20% to 12%, so my trend is down. Well done Savior.