With the passage of Obamacare and the American Rescue Plan even
more Americans are eligible for their health insurance to be
subsidized by the government (Davalon, 2022). This is not a problem
as the cost of healthcare continues to rise in America. The continuing
rising cost is a problem though. People who fall between 100% and
150% of the FPL now qualify for a zero-premium silver plan
(Davalon, 2022). Premiums are also lower for those that fall between
150% and 400% of the poverty line (Davalon, 2022). This is a large
amount of Americans who are receiving subsidies. In 2016 the cost
of subsidies was $300 billion (CBO, 2016).
There is nothing wrong with the government subsidizing the cost for
Americans who can not afford the premium. The problem is that the
cost is so high in the first place. Why is the government not
regulating this market? In 2020, the healthcare sector spent more
than $623 million on lobbying, and from January through June 2021,
it spent upward of $331 million on lobbying (Robertson, 2021). The
insurance companies spending this much on lobbying shows why the
government has no interest in regulating the industry or the cost to
the American people. There are no trustworthy sources (that I can
find) that give the amount in kickbacks received, in the pockets of
the states some of the politicians are from. This shows that the issue
is not just one company but the field as a whole. The government will
continue to have to pay more along with increasing taxes and the
deficit to be able to adjust for the spending. This will lead to a
collapse at some point, what will keep the economy from collapsing
due to this cost will be changes being made. This will either lead to a
complete national healthcare system or possibly no healthcare
system - insurance wise, at all.
CBO. (2016, February 11). Private health insurance premiums and
federal policy. Congressional Budget Office. Retrieved February 11,
2022, from https://www.cbo.gov/publication/51130
Davalon. (2022, January). How much does individual health insurance
cost? . eHelath. Retrieved February 11, 2022,
from https://www.ehealthinsurance.com/resources/individual-and-
family/how-much-does-individual-health-insurance-cost
Robertson, M. (2021, August 25). Top 20 healthcare lobbyists by 2021
spending through June25. Becker's Hospital Review. Retrieved
February 11, 2022,
