Thursday, October 30, 2014

25% of All Docs Opt Out of Obamacare (May Be As Many as 50% to 70% Opting Out in California)

  • More than 214,000 doctors refuse to participate in the new plans under PPACA according to a new survey by Medical Group Management Association. 
Why don't physicians want to participate in Obamacare? Reimbursements are simply too low to be profitable - they are even lower than Medicare reimbursements, which are already significantly below market rates.
  • It is estimated that where private plans pay $1 for a service, Medicare pays 80 cents, and 
  • ACA exchange plans are now paying about 60 cents, a study by the think-tank American Action Forum finds
Additionally, doctors are concerned they may not be paid at all.
  • HHS requires that insurers cover customers for an additional 90 days after they have stopped paying their premiums: 
    • the insurer covers the first 30 - but, it's up to the doctor to recoup payment for the last 60 days. 
    • Currently, about a million people have failed to pay their premiums and had their plans canceled.
Source: Barbara Boland at CNS News.