Diary

People with Pre-existing Conditions could switch insurance carriers BEFORE Obamacare

Kathleen Sibelius made an announcement today about pre-exisitng conditions which has a lot of problems in terms of logic and truth.  But one of those problems conservative commenters need to become familiar with.  The vast majority of people under 65 have health insurance through their employers.  Prior to Obamacare, if they wanted to switch jobs and had a pre-existing medical condition, what happened????  If you think they had to turn that new job offer you are quite mistaken.  About 20 years ago a Republican congress amended the Employee Retirement Income Security Act (ERISA) which provides the rules for all employer provided health plans, so that, if you have had insurance coverage for 6 months with your current employer, your new employer cannot deny coverage based on a pre-existing condition.  In terms of real people and real lives, the new  pre-existing condition rules will affect only people who have not been insured up to now.   That’s the law.  So like a lot else in the new law it is mostly smoke and mirrors and benefits only people who don’t currently have insurance and who are planning to buy individual policies.