Is this Death Spiral the End of ObamaCare?

For years critics of the socialist ObamaCare scheme have warned that the policy will enter a catastrophic death spiral.

There have been regular reports and warnings that the majority of enrollees are older and sicker Americans more likely to use ObamaCare, while younger, healthier Americans are refusing to purchase the government run health care.

Disturbing news reports from insurers find that ObamaCare will have devastating consequences for everyday Americans.

The Hill reports:

“Health insurance companies are amplifying their warnings about the financial sustainability of the ObamaCare marketplaces as they seek approval for premium increases next year.

Insurers say they are losing money on their ObamaCare plans at a rapid rate, and some have begun to talk about dropping out of the marketplaces altogether.

Something has to give,” said Larry Levitt, an expert on the health law at the Kaiser Family Foundation. “Either insurers will drop out or insurers will raise premiums.”

Insurers are losing money because only those with the greatest need for health care are signing up.

Younger and healthier Americans are choosing to pay the penalty.

The Hill also reports:

“The Blue Cross Blue Shield Association released a widely publicized report last month that said new enrollees under ObamaCare had 22 percent higher medical costs than people who received coverage from employers.

And a report from McKinsey & Company found that in the individual market, which includes the ObamaCare marketplaces, insurers lost money in 41 states in 2014, and were only profitable in 9 states. 

“We continue to have serious concerns about the sustainability of the public exchanges,” Mark Bertolini, the CEO of Aetna, said in February.”

Because of the imbalance in market place enrollees, insurers are warning of either massive premium increases, or that they may drop out of the marketplace all together.

Drastic premium increases would strain American’s budgets already under pressure from the middling Obama economy.

And if insurers do drop out, the remaining insurers could charge whatever they wished since there would be no competition and the ObamaCare mandate would leave individuals with no other choice but to pay outrageous premiums.

ObamaCare was always predicted to be a disaster.

Government programs limit freedom, drive up costs, and lead to bankruptcy.

All three are playing out in the ObamaCare debacle.

Will Americans pay the price for this disaster?

Or will they choose to elect a President in 2016 who will push for a full repeal of this socialized medicine disaster?