Repeal it: Because of Obamacare, insurance companies nationwide have stopped offering child-only health plans.
Jared Wolfe, executive director of the Texas Association of Health Plans, said it is not because insurers do not want to cover children. The federal health care overhaul [Obamacare], and in particular the pre-existing condition language, has been interpreted to mean that insurers must write a policy for any child who applies, Mr. Wolfe said. That effectively ensures that only sick children will apply for benefits, he said — an unworkable financial scenario for insurance companies.
This happened in New York state back in the 1990s. The state legislature decided to help everyone by mandating that no insurance company could deny insurance to anyone, no matter how sick they were. The result: there was no point buying insurance until you were sick, which meant there was no way the insurance companies could make any profit at all. Instantly the insurance field shrunk, with many companies (including my own) abandoning the state.
But then, who cares? We live in amazing times, when a President can simply order — on his personal authority and without any basis in law — that insurance companies must provide free contraceptives, without anyone having to pay for their manufacture. Who knew what things were possible before Obama was President?