Following the GOP’s failure to repeal and replace Obamacare, it seems Obamacare itself is heading towards its collapse. The infamous mega-healthcare program was set up failure from the outset with its outrageously high premiums, its impact on the job market, and excessive government interference. The GOP claimed repeatedly through the election cycle that Obamacare was failure, and it seems that that claim is coming to fruition.
Knoxville, Tennessee — Tennessee’s 3rd largest city — could perhaps become the first U.S. city to face an Obamacare collapse. There is only one Obamacare insurer for nearly 40,000 in Knoxville’s 16 counties: Humana. Humana announced recently that it plans to pull out of the Obamacare exchange nationwide citing that it stands to lose $45 million by participating in the exchange.
CEO Bruce Broussard reportedly told the company’s investors at the time:
“We are again seeing signs of an unbalanced risk pool based on the results of the 2017 open enrollment period. Therefore, we’ve decided we can’t continue to offer this coverage in 2018.”
It is not impossible that another insurance provider will fill the hole in the market created by Humana’s exit. However, given the political agenda regarding repealing and replacing Obamacare, it is unlikely a company will choose to fill that gap. The deadline for insurers to vow to do business in the Tennessee exchanges is July 1, according to CNN.
Read also: Here’s Why Obamacare is Failing
Julie McPeak, Tennessee’s insurance commissioner, stated:
“I’m not optimistic that one of our existing insurers would like to expand their coverage area without some changes to the regulatory system, either by Congress or the administration.”
Tennessee Senator Bob Corker stated last week:
“At some point, on behalf of the American people, Congress and the administration have to resolve the issues that are driving up health care costs, limiting choices, and causing the exchange market to spiral downward. However, in the interim, we must take steps to ensure people…have the opportunity to purchase health insurance off the exchange in the individual market.”
“One way or the other, I promised the people great health care. We are going to have great health care in this country. Now, it will be in one form or another. It will be a repeal and replace of Obamacare which is the deal that is being negotiated now,” Trump said, according to Politico.
However, that repeal and replace is not looking likely at this point with the Freedom Caucus and President Trump at war.
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