ObamaCare Legalizes Fraud

November 15, 2013

Tucked inside nearly 11,000 pages of the Affordable Care Act is a little-known provision that doles out three months of free health care to individuals who choose to default on their premiums, says Tori Richards, writing for Watchdog.

  • People who receive the federal subsidy to be part of ObamaCare will be allowed to incur a three-month "grace period" if they can't pay their premiums and then simply cancel their policies, stiffing the doctors and hospitals.
  • Their only repercussion is that they have to wait until the following year's open enrollment if they want coverage on the exchange.

"It will help break the system," says Rep. Louis Gohmert, R-Texas, one of a core group of Republicans who oppose ObamaCare. "This is a huge piece of evidence to show this can't work, you will break the system and bankrupt people involved."

In Massachusetts, where a variation of ObamaCare already exists, the problem already has emerged, says Devon Herrick, senior fellow with the National Center for Policy Analysis.

"People are signing up and getting care and bailing out," Herrick says. "I was talking to an insurance agent a few years ago [in Massachusetts]. She said once a week she would get a call from a college girl who discovers she's pregnant and wants health insurance. That's an example of a condition that you can schedule."

So what can be done about this now? Not much, says Gohmert. Changing the law would require a signature by Obama, and Gohmert holds out no hope for that scenario.

Source: Tori Richards, "Buy 1, Get 3 Free! Experts say ObamaCare 'Grace Period' Gives Fraudsters the Green Light," Watchdog.org, November 7, 2013.

 

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