Republicans have proclaimed that Obamacare is in a DEATH SPIRAL.
A DEATH SPIRAL!
That is really bad. Right? Collapsing under its own weight, they say. Republicans say that insurance companies are pulling out, because the law is so problematic.
We have all heard that insurance premiums went up a lot this year. That must be because the companies aren’t making enough money on the exchange, right?
I wanted to see how badly these poor companies were hurting. So I googled their stock histories, drew a black line on the graph to show when Obamacare went into effect, looked up their CEO salaries, and pasted it all into a nifty PlayBuzz format. You might be surprised by these numbers.
Let’s take a moment and reflect on the power of the health insurance lobby. Whatever policies are put into place, this industry is going to thrive. They are thriving under Obamacare. And they will thrive if some Republican replacement is put into effect, because the health insurance lobby spends about $500 MILLION per year to protect its interests.
They cry poor. But their CEO’s and their shareholders are raking in the cash. Remember. This is a business. They pull out of the states when their profit margins are not as high as they would like. Then they threaten to pull out of the exchanges all together to create the illusion that they are not raking in the cash and to justify even higher premiums and even higher profits.
Look at those numbers again.
The death spiral is a myth. And the people who are telling you that there is a death spiral are liars.