Insurers Have Remained Mysteriously Quiet About Obamacare Repeal

Fight disinformation: Sign up for the free Mother Jones Daily newsletter and follow the news that matters.


A reader emails with a question:

The repeal-Obamacare mania has been on for years, but I have NEVER read anything about what the insurance industry is thinking or doing about it.

Neither have I! And it’s damn mysterious. Obviously the insurance industry was heavily involved in lobbying for Obamacare back in 2009, and just as obviously there are parts of Obamacare they don’t like. The patient pools have turned out to be sicker than they projected and insurance companies have struggled to make money on Obamacare policies. This year, however, they’re finally there—or close to it. The market has shaken out, premiums have risen to CBO-projected levels, and Obamacare is probably a break-even or better prospect for the insurers who have gutted through the first three years.

What’s more, like it or not, they’ve spent years adapting the way they do business. Everything from computer systems to physician compensation now follows Obamacare’s rules. This has cost tens of millions of dollars, but now it’s done. The last thing they need is to rip it all out and start from scratch.

And yet insurance companies have been surprisingly silent about the Republican plan to kill Obamacare. Do they prefer getting rid of it even if there’s an upfront cost? Have they given up, and assume that repeal is a foregone conclusion that’s not worth fighting? Is all their lobbying behind the scenes? It’s not clear. Insurers are pretty unanimous about wanting some certainty in the rules, but aside from that, this eight-week-old story from the New York Times still describes things pretty well:

Far from reflecting the magnitude of the moment, the most prominent message from lobbyists that lawmakers saw in their first week back at work was a narrowly focused advertisement from the U.S. Chamber of Commerce….Health care professionals are not totally silent, but industries that were integral to the creation of the Affordable Care Act in 2010 are keeping their voices down as Republicans rush to dismantle it.

….Some lobbyists have tacitly accepted the likelihood that major provisions of the health law will be repealed, setting their sights instead on shaping its replacement. They fear that if they come out strongly in opposition to repealing the law, they will lose their seats at the table as congressional Republicans and the Trump administration negotiate a replacement.

Insurers spent $150 million lobbying in support of Obamacare in 2009. So far they’ve spent virtually nothing in 2017. I continue to be mystified by this.

We've never been very good at being conservative.

And usually, that serves us well in doing the ambitious, hard-hitting journalism that you turn to Mother Jones for. But it also means we can't afford to come up short when it comes to scratching together the funds it takes to keep our team firing on all cylinders, and the truth is, we finished our budgeting cycle on June 30 about $100,000 short of our online goal.

This is no time to come up short. It's time to fight like hell, as our namesake would tell us to do, for a democracy where minority rule cannot impose an extreme agenda, where facts matter, and where accountability has a chance at the polls and in the press. If you value our reporting and you can right now, please help us dig out of the $100,000 hole we're starting our new budgeting cycle in with an always-needed and always-appreciated donation today.

payment methods

We've never been very good at being conservative.

And usually, that serves us well in doing the ambitious, hard-hitting journalism that you turn to Mother Jones for. But it also means we can't afford to come up short when it comes to scratching together the funds it takes to keep our team firing on all cylinders, and the truth is, we finished our budgeting cycle on June 30 about $100,000 short of our online goal.

This is no time to come up short. It's time to fight like hell, as our namesake would tell us to do, for a democracy where minority rule cannot impose an extreme agenda, where facts matter, and where accountability has a chance at the polls and in the press. If you value our reporting and you can right now, please help us dig out of the $100,000 hole we're starting our new budgeting cycle in with an always-needed and always-appreciated donation today.

payment methods

We Recommend

Latest

Sign up for our free newsletter

Subscribe to the Mother Jones Daily to have our top stories delivered directly to your inbox.

Get our award-winning magazine

Save big on a full year of investigations, ideas, and insights.

Subscribe

Support our journalism

Help Mother Jones' reporters dig deep with a tax-deductible donation.

Donate