Obama Considering Three Year Extension To Obamacare

Tyler Durden's picture

While Washington debates over what is the proper explanation of the CBO's report which explicitly states that millions of workers will drop out of the labor force over the next decade thanks to Obamacare, Obama himself may have finally thrown in the towel, realizing that the longer the full implementation of Obamacare is delayed, the longer the myth that it is a viable Ponzi scheme - as opposed to non-viable - can persist. Perhaps this explains why AP reports that the White House is now considering an extension of the president's decision to let people keep their individual insurance policies even if they are not compliant with the health care overhaul, according to two top industry officials.

From AP:

Avalere Health CEO Dan Mendelson said Thursday that the administration may let policyholders keep that coverage for an additional three years, stressing that no decision has been made. Policymakers are waiting to see what rate hikes health insurers plan for the insurance exchanges that are key to the overhaul's coverage expansions.


"The administration is entertaining a range of options to ensure that this individual market has stability to it and that would be one thing that they could do," he said.


Avalere Health is a market analysis firm, but Mendelson said his company was not advising the administration on exchange policy. He said he has had informal discussions with administration officials about the extension, but he didn't identify them.


A spokeswoman for the Department of Health and Human Services, Joanne Peters, said "We are continuing to examine all sorts of ways to provide consumers with more choices and to smooth the transition as we implement the law."

Earlier, Mark Bertolini, Chairman and CEO of Aetna and the nation's third largest insurer, told analysts during his earnings call that he had heard the plans may be extended. Perhaps a more important thing Bertolini said is that his company may pull out of markets if the Medicare cuts are too high, adding that 2015 may be challenging due to medicare cuts. This may have been the final straw that pushed the administration into action.

However, even a longer extension than was rumored previously will hardly help reinstate the policies of all those millions who lost coverage in the lead up to the Obamacare enactment as insurance companies know that terms will once again change eventually, so why go through the headache of temporary reinstatement just to cut all those "non-compliant" individuals once again?

Individual policyholders were hit with a wave of cancellation notices last year because their coverage was less robust than what is required under the law, and many states allowed insurance companies to simply cancel them.


The wave of cancellation notices — at least 4.7 million of them — hit just when the new HealthCare.gov website was experiencing some of its worst technical problems, and it undercut the president's well-publicized promise that if you liked your plan you could keep it.

You couldn't.

At first the White House went into damage-control mode, arguing that many of the cancelled plans were "junk" insurance and consumers would be better off with the broader coverage available through the health care law's new insurance markets.


But soon Obama was forced to reverse course, urging insurers and state regulators to allow policyholders to keep their existing plans for an additional year. Most states complied with the request.


Now the administration is considering adding more years to this extension to avoid another wave of problems if rates on the exchange climb too high and people are left without an affordable coverage option. Health insurers are supposed to submit by May the rates they want to charge on the exchanges next year.

Actually, the only reason why Obama is suddenly willing to compromise over every aspect of his "crowning achievement" is that finally its tactical, and strategic failure has become clear for all to see. So it would be best to enact it piecemeal, and claim success for whatever legacy aspects of the system are working, while blasting everything that his unprecedentedly complicated, centrally-planned contraption has unleashed.

Finally, why three years? Because by then Obama will be gone (absent some very radical changes to presidential term rules), and Obamacare will be someone else's problem.

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TruthInSunshine's picture


He and Pelosi must have just started to read the ACA.

idea_hamster's picture

Next up:

"Obama considering three-year extention to presidential term."

Levadiakos's picture

He's still keeping Eliz Hurley up in the attic

insanelysane's picture

The preliminary prices for 2015 must be extremely high because of all the sick people that enrolled and none of the youths enrolling.

onewayticket2's picture


the report must have been "tanks in the streets" bad for obamacare. 

texas sandman's picture

But, what will this do to free the masses from that j-o-b????  


Can't wait to see the NYT spin on this one.  

zaphod's picture

This shows how utterly stupid that man is.

Such an extension will effectively kill the program, but he goes along with it for near term votes.

An extension simply does the following, it allows healthy people to stay on non-ACA plans. That is it. By keeping healthy people on non-ACA plans you are garanteed to make the ACA pool unhealthy and expensive. This accelerates the negative feedback loop making ACA less and less affordable.

Don't get me wrong, I think it is great they are shooting themselves in the foot. But it exposes how fools are in charge of us.

john39's picture

the fools planned all along to destroy the existing healthcare system (as crappy as it was), in order to roll out a new improved collectivist single payer hell system after the insuing chaos.

onewayticket2's picture

follow the Election....

it's about November 2014 and November 2016.....that's all you need to know.

TruthInSunshine's picture


It's all about that electoral college map, and the Dems are panicking based on their internal polling numbers.

Billary 2016 hath decreed ObamaBananaCare a major liability.

Freddie's picture

If we get Jeb, Rubio, Christie, Ryan or some other RINO piece of shit - it won't matter.   Rand Paul is the only one that is probably worthwhile.

johnQpublic's picture





 if rates on the exchange climb too high and people are left without an affordable coverage option


you just cant make this shit up


graneros's picture

It won't matter who the pubbies put on their ticket.  Jesus H. Christ could be their pick and they would still lose.  I doubt any of us over 50 will ever see another "R" President.  And to be honest I'm not sure there is that much of a difference anymore anyway.  I know I personally will not vote for any but Libertarians or possibly the Constitution Party for any elected office ever again.  Really I can't think of a single Republican (or Dem but I have never paid any attention to who they are running) that I would even consider.  The only 2 names that even come close would be Cruz or Paul but as they insist on staying firmly ensconsed in the R team... can't do it.

icanhasbailout's picture

So you would have not voted for Ron Paul, R-TX, had you lived in his House district, for the sole reason that he ran on the Republican Party line?

macholatte's picture




1.   Doesn't a change to ACA require an act of congress?

2.  If there were zero health insurance plans available in the USA prior to 2014 that waived a "pre-existing conditions" clause, then how can any plan survive as it was?


Lies, damned lies and Progressives.

Muddy1's picture

Congress?  What Congress?  I have a pen and a phone!  Besides, I can unilaterally decide if and when I will implement a law, it's MY Obamacare afterall!!!!  "You didn't create 'dat business, and I didn't create Obamacare."


He is celarly waiting until AFTER the next presidential election, and after he leaves office, so the onerous BULLSHIT called Obamacare will be left for the next President and Congress to shovel into the manure pile.  By even thinking of a 3 year delay he clearly is admitting his self named legislation is nothing but a fukup of immeasurable size.



SoilMyselfRotten's picture

Just make the damn thing a single payer and all the insurance bullshit goes away

JohnG's picture

And so do doctors, then people.

TuPhat's picture

My insurance didn't change that much but the clinic in town closed on Dec. 31 and all the doctors left town.  I'm not sure if there are any doctors in towns close by that are on the preferred providers list.  Delaying the ACA for 3 years won't clean up the mess.  Neither will a single payer system.  Health care for the 1% is still a given for the rest of us, not so much.

Hacked Economy's picture

Am I missing something?

The ACA (Obamacare) was passed by Congress, making it a product of the Legislative branch.  The Executive branch cannot arbitrarily make any changes to the ACA.  Yes, I know he already has made exemptions and previous delays for certain provisions of the ACA, but he doesn't have the Constitutional authority to do so.  Obama cannot implement any extensions.  Only Congress can do it.

People, this is Gov 101 stuff...why isn't the House calling him on this?  I understand why the Dem-controlled Senate would turn a blind eye to their Messiah, but the conservative-leaning House?  Not even one Rep is screaming and holding public press conferences to enlighten the masses and embarrass Obama?

This all seems so ridiculous.  I shake my head in disgust and disbelief with how much the Prez is getting away with, that our forefathers (not necessarily the Founding Fathers, but even Americans only 100 yrs ago) wouldn't have put up with.

knukles's picture

Nobody in DC cares.
Just wait until a maniacial Right Winger gets in...

Holy Sheeit!

Theta_Burn's picture

Suspiciously the same Reps caved on the looming debt ceiling, hmm...

The lot of these idiots couldn't plan a BarBQ

Blano's picture

Because the House leadership is a bunch of traiterous idiots, that's why.

NoDebt's picture

You, me and everyone we both know is wondering the same thing.

You getting the point that the two parties are just opposite sides of the same coin yet?  They BOTH want the power and control that accrues with this program.  They're just bickering over who gets to be at the controls.

Hacked Economy's picture

Unfortunately, I have to agree with you that the Repubs and Dems have evolved to the point where they're perhaps 80% the same now, with only nominal differences between them for the sake of gathering votes from different groups of voters.  There are a handful of true statesmen, but they're drowned out in the sea that is our current Congress.

But my point earlier was that you'd think someone on the Repub (or even Libertarian) side of the aisle would grab this as an opportunity to slam Obummer and the Dems who support him.  I mean, it's practically served on a silver platter for just that purpose, but nobody's talking about it.

Makes me start to wish for a magic wardrobe to Narnia where a group of us can start fresh and leave this place to the black hole forming in D.C. (and the choose-your-state legislatures as well, depending upon where you might live).


onewayticket2's picture

how the dems craft their tactics...


1. obama signs Exec Order to delay

2. republicans - seeing that this is a stall tactic to get through elections - claims (correctly) that this is unconstitutional.

3. democrats beat the Republicans over the head for doing something Americans need (until ocare can get "properly priced") and demanding obama care be implemented.

4. press runs endless stories about how Republicans hate people and want them to be poor.

(if republicans do NOT object, obama solidifies precendent for Dictatorship - either way, he wins)

5. democrats get re elected in November.  

6. obamacare implemented.

viahj's picture

wouldn't it take a lawsuit taken all the way to SCOTUS?  those traitors already "constitutionlized" ACA as a fee, not a tax... or was it a tax and not a fee?  fucking circus court.

Hacked Economy's picture

And there's another conundrum.  The final version of the ACA (as it was voted upon and passed) was re-written by the Senate, including the "finance" parts.  Per the Constitution, only the House may pass tax- or funding-related legislation.  The Senate is prohibited.  So that being said, I believe the SCOTUS decision might have actually been a deft attempt by the Justices to leave the door open for an intelligent lawyer/group to properly challenge the Constitutionality of the entire ACA (you know, since everyone now acknowledges it as a tax).  Here's another opportunity served up on a silver platter, but nobody's talking about it.

This isn't rocket surgery.  If I - being a regular Joe - can see these things along with some of my ZH brethren, then surely others must see them, too.  You'd think somebody with a [conservative] axe to grind against the Obama machine would take up the torch.

knightowl77's picture

I believe Rand Paul has filed a lawsuit against obummer usurping legislative powers....

short of impeachment - I believe that is all that can be done, since the establishment repubs will not shut the gov't down again over this BS

Theta_Burn's picture

And just like that another decree uttered, a few sound bites, maybe even an apologetic "we dropped the ball" chuckle about the whole thing, whilst going on the road proclaiming of "all we learned" from this "big fucking deal"

And my family lost our BCBS which sucked, got switched to Aetna, which sucks even more, but do realize it could have been much worse.

Everyone pissed yet? no? watch this http://www.youtube.com/watch?v=DAbbGyX_bGI

I wonder how the fuck this guy even make his way to his office?


TruthInSunshine's picture

And then off for another 5 week vacation in Hawaii.

insanelysane's picture

Not sure if it is stupidity or an inability to focus on more than one thing.  I believe he focused on how many new enrollees would get free health care without ever considering what the paying customers would need to pay; for mandatory coverage.  Probably looking at bronze plans with a $2k/month premium and $25k deductible.

zaphod's picture

"Probably looking at bronze plans with a $2k/month premium and $25k deductible."

At that price I would pay the penalty and wing it with my family. Suspect many others would as well.

insanelysane's picture

I think that is what most people will be looking at for 2015.

kchrisc's picture

First, I don't think that he makes any decision except on what golf course to use. Next, based on all of the spin and propagandizing I have seen in the propaganda media, I believe the Internet and alt-media won this one. Like Sandy Hoax and “Boston goes boom," they haven't been able to get ahead of this and surf it on in. Game, set, match.

The next big move will be against the Internet. They won't be able to take our guns, push Obamacare on in to the hilt or subdue the sheeple's minds unless they do, and they know this. Watch for it.


"What's 'kiddie porn?' I don't know, but I'll know it when I see it on a dissenter’s computer."

Montgomery Burns's picture

No internet and a huge chunk of the healthcare system in the US shuts down. Supply ordering, documentation, provider to provider as well as provider to patient communication,billing, etc all more and more internet based all the time.

kchrisc's picture

I don't think that they will shut it down, but institute "controls."

I think the first move will be a "sweep" against "kiddie porn" and copyrighted material hosting, etc. We got a taste of what they are capable of with Megaupload.

They will do this directly to some sites and indirectly via the companies hosting the sites.

When sites like ZH, Mises.org, LewRockwell.com, etc. one day are gone, then we'll know.

Later non-anonymous controls and other things will be instituted. They will make it hard to communicate about them in reasonable safety and will shift the economics of the Internet further to benefiting the large firms.

Just my 1913 dollar.

James-Morrison's picture

Censorship won't be "unconstitutional" if they call it a "blogger tax"? It's not fair that only some people ave access to the Internet.

ObamaNet will remove the inequity.

Each post on the net will get assessed a ten-cent tax, collected by the blog site. That should remove most dissent.

(just thought I'd add my own two-cents before the imposition of ObamaNet)

kchrisc's picture

Tomato, Tomäto, guillotine.

Van Halen's picture

Zaphod, may I respectfully offer another view - that the extension will not kill the program because this bunch have at this point, already realized that they can simply change the rules at will - without Congress or the law.

SilverIsKing's picture

He wants to be liked and no longer needs the headache.  3 years gives him time to get out of Dodge and start counting his money.

rbg81's picture

Yup.  Delaying it for 3 years preserves his "legacy" and will help the Dems minimize the political damage from the OCare debacle.  Of course, whoever follows Obama will also have the power to delay.  So it will NEVER take effect.  In the meantime, the Insurance Industry stooges who went along with this scheme will be left holding the shit bag.

SDShack's picture

Wrong, the insurance companies wrote 0zer0care. It has a bailout clause in it so the insurers get paid either way. Either through increased signups and premiums that accrue, or the govt. bails them out on the difference. No matter what 0zer0 says, you can guarantee the insurance company bailout will go through because the lobbyists have paid for all the politicians. But there is nothing 0zer0 can do to stop the double digit increases coming in ALL EMPLOYER SPONSORED plans this summer. That will happen because the risk pools have been obliterated. No extension of the delay of employer mandate can stop that. We are going to see a repeat of last fall when 5+million people lost their PERSONAL plans. Only this time it will be 10x worse because this is EMPLOYER plans. 0zer0 has no idea how bad this is going to be in a few months. Just before the 2014 elections. The dumbcrat wipeout will be epic unless the repukes save them with amnesty.

Blano's picture

Count on Boner & Co. to snatch defeat from the jaws of victory somehow.

kchrisc's picture

"Winner, winner, chicken dinner."


"The institution that extorts wealth, jails, executes and wars against people, takes our children to kill or be killed, bombs wedding parties, snoops and spies is going to assist us with our healthcare. Can you see it?"

rbg81's picture

I hope you're right.  As far as I'm concerned, the blowback from this can't be severe enough.  However, you know the MSM will tell the sheeple that poverty is prosperity, slavery is freedom, and no job or healthcare is liberation--and if you disagree, then you're a racist.  The dumb bastards will lap it up.

Common_Cents22's picture

yep, the big ship of disaster is already in motion and will take a long time to turn around.   there is no easy putting the obamacare genie back in the bottle now

Boris Alatovkrap's picture

Definition of Dictator... Rule not by law, but by whim. His whim.

TruthInSunshine's picture

In KronyKomrade USSA, wimp rule you!