Isn't that what Obamacare is doing? And what about people who live in states who don't offer high-risk pools? What do they do?
That’s got to be cheaper than what we are subsiding now...
Probably not. In the past high-risk pools provided minimal, specific coverage with high deductibles and high premiums. Which makes sense if you think about it. A pool of people all with serious health issues and who will be making multiple, expensive claims against their coverage? That's an expensive proposition under any circumstances.
-—Isn’t that what Obamacare is doing?-—
Obamacare is subsidizing just about everyone...
I wasn’t clear on my post
High risk pools should be covered like medicare or medicaid..
Pull all high risk plans out of the private insurance plans to cut the cost of general insurance since their costs would be covered by the taxpayer...
I think that would be a cost effective way to keep insurance pools less expensive...
Maybe, but not all HRPs are created equal. In fact, maybe no two are alike, as they were created by the states.
In any case, non-HRP or HRP, in any kind of insurance, premiums are based on aggregate claims. So why wouldn't high claims individuals pay higher premiums?
The best model is one where the HRP population is around 1% of the total insured within a given state. ONE PERCENT.
Also in the best model, a premium surcharge of A FEW CENTS PER MONTH on any domestic policy, group, self insured, individual market...subsidized the reserves of the HRP.
"A few cents" blows the doors off of doubling and tripling the premium.