Insurance Companies Warn that Obamacare Will Collapse the System

Colorado Insurance companies are warning that Obamacare will collapse the insurance industry.

Maybe that’s the plan.

The Denver Post reported:

Colorado insurance executives, cautious supporters of health care reform throughout the past year, are now warning that current proposals could cause a “system collapse.”

At issue are what insurance companies consider absurdly low penalties for people who choose not to buy health insurance.

Their concern: People will buy insurance only when they desperately need it, such as after they’re diagnosed with cancer or heart disease.

Healthy people might choose to pay the penalty, now proposed at a few hundred dollars per year, because it is far less expensive than buying insurance.

Insurance companies, under that scenario, would end up spending more to treat patients than they would receive in premiums. Rates would rise even faster than they do now.

And if there are no insurance companies we will all be dependent on the government even more. It’s the statist’s dream.

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