“The under-26 provision is one of Obamacare’s biggest flaws”

Senator: “We didn’t think ahead” … and consider ramifications.


From the get-go, I’ve questioned the “wildly popular” ObamaCare provision allowing “adult children” to say on their parents’ health insurance policies until they’re 26.

My objection was two-fold.

First, it removes a significant source of motivation for adult-children to get a job.

In the old days, parents encouraged their college kids to get a degree that might just qualify them for a paying job.

Unfocused, impractical exploration wasn’t a viable option for most families.

And, in the old days, parents used to nudge their kids to land jobs with benefits (not the same as “friends with benefits”) that included “hospitalization” … the old school name for health insurance.

I guess those days are gone …



Second, as we’ve posted before, due to the weird insurance pricing schemes that let all except a family’s 1st child ride free on their parents plans, an adult-child rides completely free unless he-she is the family’s only covered child.

That means that all other plan members who pay premiums end up paying higher premiums to cover the cost of the free-riding adult-children

I don’t like these kinds of hidden cross-subsidies.

On this point, an insurance buddy of mine advised me to settle down since these adult-children are generally healthy and don’t consume much medical care.

True, but that raises an even biggest issue …


As reported in Politico, the obvious has become evident to some in the Washington brain trust:

The under-26 provision has contributed to one of Obamacare’s biggest flaws:

Not enough young, healthy people have signed up for coverage in the law’s insurance marketplaces, or exchanges.

That’s translated into financial losses for insurers, big premium spikes and dwindling competition.

About 2.5 million of these “young, healthy” people are riding free on their parents’ policies.

They are among the young healthies who were supposed to be subsidizing the heavier health care users.



Laying out some not-too-subtle bait for Republicans, the left-leaning Politico opines:

One simple way to fix Obamacare is to do something that no one is willing to do:

Kick hundreds of thousands of young, mostly healthy Americans off their parents’ coverage.

Pull the plug on a wildly popular ObamaCare entitlement.

Yeah, sure …  that might work.

As Texas Senator Cornyn put it:

“I don’t think we thought that far ahead, to tell you the truth.”

No kidding, Senator.



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