Does this sound right to you (re Obamacare)?

[no_hypocrisy]

My gym-mate told me tonight that NJ Blue Cross/Blue Shield will not renew her policy past October, 2014.

She called the company and tried to find out what this meant. The customer service agent told her that b/c of Obamacare, it's federally mandated that all policies go up as much as $2,000,000 coverage and BC can't afford that kind of change for many of its customers. BC didn't know whether she could still get her policy but for 50 to 100 percent more for her premium or whether she would have to apply for Medicaid.

My friend was sincere but it just doesn't sound right to me.

What do you make of this?

[Swede Atlanta]

1. Bullshit.....

The ACA will simply specify a "minimum" amount of coverage. There is no mandate the price go up $2,000 unless the provider wants to charge this. It may well be that to meet the minimums some insurance companies will have to raise premiums. But I think "George" the telephone operator was not in a position to comment on how much the price could increase.

[doc03]

2. They are telling people that this will happen over a 1 1/2 years from

now?

[no_hypocrisy]

3. Apparently. I can't figure if it's a scare tactic

to get policyholders to contact their congresscritters to repeal Obamacare.

[nenagh]

4. Trying to understand...

Is she saying BC told her that Obamacare mandates a minimum 2 million dollar coverage?

Or BC tells her c Obamacare ..the services BC would be expected to cover would increase a premium so high that the lady could not afford the coverage...

Sorry to not understand...but I'm curious what BC is telling her...

[subterranean]

5. Obamacare will prohibit annual and lifetime limits on coverage.

The required minimum annual coverage is being gradually increased before such limits are prohibited beginning in 2014. Starting last year, insurance plans were not permitted to set annual coverage limits lower than $2 million, so that is probably what this is about.

Tell your gym-mate that she may be able to get a better policy for less money once the insurance exchanges are up and running next year. What's her income situation? If she's low income (below 133% of the Federal poverty level) she will be eligible for Medicaid. Otherwise, she can get subsidized private insurance.

Source: http://www.healthcare.gov/law/features/costs/limits/index.html

[nenagh]

6. Thank you..

[no_hypocrisy]

7. Thank you for the clarification. She was really upset.