A new Kaiser Family Foundation analysis finds that, on average, premiums for Obamacare’s benchmark silver plan are falling by 0.2% across 48 major cities.
Vox: “Falling is not a word that people associate with health-insurance premiums. They tend to rise as regularly as the morning sun. And, to be fair, the Kaiser Family Foundation is only looking at 48 cities, and the drop they record is modest (though this is the same methodology they used in 2014, and to good results). But this data, though preliminary, is some of the best data we have — and it shows that Obamacare is doing a better job holding down costs than anyone seriously predicted, including Kaiser’s researchers.”
“Keep in mind that the 0.2 percent drop is the average across all the measured cities. There are places where prices are skyrocketing (like Anchorage, AK, where they’re rising by 28 percent; or Minneapolis, MN, where they’re rising by 18 percent) and places where prices are plummeting (in Jackson, MS, prices are falling by 24 percent; and in Denver, CO, they’re falling by 15.6 percent). So the average here masks considerable variation. Someone going to buy insurance in Minneapolis isn’t going to feel like Obamacare is holding down costs — because it isn’t. But someone going to buy insurance in Denver is in for a very pleasant surprise. On average, though, Obamacare is holding down insurance costs — and that’s a surprise.”