Conservatives Wrongly Blame Obamacare for Insurance Companies Raising Rates, Cancelling Policies


Since Obamacare's individual mandate began on Oct. 1 some Americans have been notified by their health insurance company that their monthly premium is going to increase.

According to, one couple in Texas received a notice from Humana One (pictured) stating that their monthly payment would increase from its current $212.10 to $1,356.60. editor Mike Adams blared the headline "Obamacare causing 539% increase in health insurance costs for Texans."

Adams also claims in his article, "It's monopolistic price gouging mandated by the Obama administration and enforced essentially at gunpoint."

However, in reality, Humana One is choosing to increase that couple's rate by 539 percent and the Republican-controlled state of Texas is allowing Humana One to do so.

There is no "price gouging mandated by the Obama administration."

As noted earlier this year, this 'blame" on Obamacare for jacking up prices was to be expected:

As 2014 nears, and the bulk of the Affordable Care Act (Obamacare) is implemented, there will be story after story of how Obamacare is going to either take away your current insurance or drive your rates up.

...The minor detail they fail to point out is that the insurance companies are raising the rates because the Affordable Care Act prevents them from gouging the oldest and sickest of our population. If they can't gouge them, the next best thing is to gouge the rest of us.

Another false claim by conservatives is that Obamacare is responsible for Americans losing their insurance policies.

A recent headline by, screamed: "Nearly 1.5 Million Lose Health Insurance Due to Obamacare."

John Nolte writes on "These cancellations are all due to the Obamacare mandate that requires every health insurance policy meet a minimum requirement of a one-size-fits-all Cadillac plan that forces people to pay for coverage they neither want nor need."

Obamacare does mandate that all health insurance policies carry some basic “essential” benefits such as hospitalization, prescription drugs, mental health treatment and maternity care.

But Obamacare is hardly an "one-size-fits-all Cadillac plan" as insurance companies can offer anything they want in addition to the "essential" benefits.

Nolte also fails to mention that all existing insurance plans have something policy holders "neither want nor need."

A recent article by Kaiser Health News, says that the new insurance policies that will be sold under Obamacare's rules "will offer consumers better coverage"and "insurers cannot reject people with medical problems or charge them higher prices. The policies must also cap consumers’ annual expenses at levels lower than many plans sold before the new rules."

And what about all those cancellations?

“[Insurance companies may be] doing this as an opportunity to push their populations into the exchange and purge their systems [of unwanted policyholders]," Jerry Flanagan, of the advocacy group Consumer Watchdog, told Kaiser Health News.

Sources: Kaiser Health News,,,


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