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Consensus Is In: Health Care Costs and Premiums to Rise Under Democrats’ Health Law

April 26, 2010

Not so long ago, President Obama proclaimed, “If any bill arrives from Congress that is not controlling costs, that’s not a bill I can support. It’s going to have to control costs.”

Republicans concur with President Obama’s assessment that reducing health care costs should be the primary goal.  Unfortunately, just one month after Democrats enacted their $1 trillion overhaul of the nation’s health care system, the consensus is in that the law receives a failing grade on this most important measure.  The new law will increase national health spending and will make health insurance more expensive for millions of American families. But don’t take our word for it.

“Health care, Round Two, is when we will make a serious effort at cutting costs down, based on what this law has shown us.”— paid HHS health consultant, health care overhaul supporter and MIT economist Jonathan Gruber.

“[N]ational health expenditures under the health reform act would increase by a total of $311 billion (0.9 percent) during calendar years 2010-2019.”— Obama Administration’s Actuaries at the Centers for Medicare and Medicaid Services.  (Note: The actuaries found the law is actually worse in this regard than either the House or Senate-passed legislation.)

“The history of health coverage expansion should make us worry. If ObamaCare’s actual fiscal effects look anything like previous efforts to expand health coverage, the federal budget is in for a world of hurt.”— Wall Street Journal

And then there is the Congressional Budget Office’s (CBO) analysis that health care premiums are going to rise sharply under the Democrats’ new law.

Impact on Individual Market Health Insurance Premiums in 2016 According to CBO   


 Health Care Proposal


Change in Premiums Compared to Current Law Projections

Democrats’ Health Care Law
(H.R. 3590 and H.R. 4872)


$2,100 increase


House Republican Alternative Bill
 (H.R. 4038)

$1,050 decrease

 Annual Savings Under GOP Plan = $3,150

Despite spending one trillion dollars, the Democrats’ new law fails to meet the number one goal of the Administration and more importantly American families.  How much more will Democrats seek to spend to undo their costly mistakes?