Opponents of the American Health Care Act say 24 million more Americans will lose coverage. However, that number is based on faulty assumptions.

The CBO report uses the ACA’s March 16 baseline projections for comparison. Projections that have already proven inaccurate. This leads to three flawed assumptions. 1) Premiums will not be more expensive than under the baseline. This is false. American’s saw significant premium increases in 2017 and if Obamacare is left intact future increases will undoubtedly occur. 2) Insures will not drop out of the system. This is false. Carriers have already announced they are pulling out altogether. 3) The number of people under Obamacare will not decrease. This is false. Under Obamacare the marketplace was expected to rise to 18 million by 2023 and then level off. However exchange enrollment actually dropped by about half a million between 2016 and 2017 — to 12.2 million. That suggests that the number of insureds has already begun to contract. Premium increases and insurance companies dropping out of the market have and will continue to force people to drop their insurance, impacting the original assumption even further.

Garbage in, garbage out.

Employee Benefit Advisors provides employee benefits, tax-advantaged healthcare, compliance guidance for ACA and Health & Welfare DOL Audits, and PEO Advisory & Consulting Services. We can customize a wellness plan for your budget and culture.