Wednesday, October 23, 2013

Obamacare Whoops

Thousands Of Consumers Get Insurance Cancellation Notices Due To Health Law Changes
Health plans are sending hundreds of thousands of cancellation letters to people who buy their own coverage, frustrating some consumers who want to keep what they have and forcing others to buy more costly policies. The main reason insurers offer is that the policies fall short of what the Affordable Care Act requires starting Jan. 1. Most are ending policies sold after the law passed in March 2010. At least a few are cancelling plans sold to people with pre-existing medical conditions.

That would be a big multiplier less than one in Florida, as Florida is a large state. Reading the article, the positive claim is that under the new regime, Florida will have greater medicine with large gains from scale.  That means more debt based capital investment in the meantime.  But it is capital investment that must taken from medical investments of smaller states, as gains from scale do not exist in small states. The  scale differences between small and large states will result in political civil war.

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