DEMOCRATS' LATEST SHUTDOWN STUNT EXPOSES THE OBAMACARE FRAUD - Insurance News | InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Newswires
Topics
    • Advisor News
    • Annuity Index
    • Annuity News
    • Companies
    • Earnings
    • Fiduciary
    • From the Field: Expert Insights
    • Health/Employee Benefits
    • Insurance & Financial Fraud
    • INN Magazine
    • Insiders Only
    • Life Insurance News
    • Newswires
    • Property and Casualty
    • Regulation News
    • Sponsored Articles
    • Washington Wire
    • Videos
    • ———
    • About
    • Meet our Editorial Staff
    • Advertise
    • Contact
    • Newsletters
  • Exclusives
  • NewsWires
  • Magazine
  • Newsletters
Sign in or register to be an INNsider.
  • AdvisorNews
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Exclusives
  • INN Magazine
  • Insurtech
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Video
  • Washington Wire
  • Life Insurance
  • Annuities
  • Advisor
  • Health/Benefits
  • Property & Casualty
  • Insurtech
  • About
  • Advertise
  • Contact
  • Editorial Staff

Get Social

  • Facebook
  • X
  • LinkedIn
Health/Employee Benefits News
Newswires RSS Get our newsletter
Order Prints
October 9, 2025 Newswires
Share
Share
Post
Email

DEMOCRATS' LATEST SHUTDOWN STUNT EXPOSES THE OBAMACARE FRAUD

States News Service

The following information was released by the Cato Institute:

Michael F. Cannon

For the second week in a row, Democrats are blocking roughly a quarter of federal spending, causing what Washington calls a government "shutdown," unless Congress gives additional billions of taxpayer dollars to private health insurance companies via Obamacare. Republicans have never taken responsibility for Obamacare, and they should not start.

,

Obamacare offers junk insurance at outrageous premiums. In 2021, Democrats created temporary COVID-19 emergency premium subsidies for families earning $130,000 to $600,000 annually because even wealthy people struggle to afford Obamacare. These supposed "tax credits" are just checks the government sends to private health insurance companies. Thankfully, those temporary subsidies expire at the end of this year.

Democrats want to make those subsidies permanent because if they disappear, it would reveal that Obamacare's excessive premiums and junk coverage are unpopular, as they have been from the beginning.

,

Billions flow from taxpayers to insurance companies while families pay more for less care and shrinking doctor networks.

,

Public opinion turned against the first draft the moment Democrats introduced it in June 2009. After Democrats passed the "Affordable Care Act" by a single vote, voters gave them a "shellacking" in the 2010 midterms.

Congress has since repealed dozens of unpopular ACA provisions. The long-term care program? Gone. The death panel? Gone. "Every single one of the funding mechanisms to help offset the cost of the bill has been repealed," says health reporter Julie Rovner. "The individual mandate is gone. Most of the industry-specific taxes are gone. The Cadillac tax ... is gone."

Dozens of other provisions were so unpopular that bureaucrats and judges rewrote them, in many cases subverting the Constitution by legislating without Congress.

Ignoring the ACA's spending limits, the Obama and Biden administrations issued billions of dollars in illegal subsidies to millions of ineligible people, including members of Congress, and diverted funds from public health and elsewhere to insurance companies.

The ACA proved so unworkable and unpopular that it no longer exists. What we now have is "Obamacare" (Justice Antonin Scalia called it "SCOTUScare"), an illegitimate law that no Congress ever passed or could have passed.

Obamacare's authors knew it would be unpopular. In 2013, ACA architect Jonathan Gruber admitted that Democrats structured the ACA by hiding its tax hikes within private health insurance premiums to hide its unpopularity. Had they made these measures transparent, he said, "The bill would not have passed." Mr. Gruber infamously credited the ACA's passage to "the stupidity of the American voter."

Even the supposedly popular parts the rules prohibiting exclusions or higher premiums for preexisting conditions are unpopular. Former Biden economic adviser Michael Geruso has shown that those provisions are, in fact, limiting access to medications, top doctors and top hospitals at a cost to chronically ill patients of thousands of dollars per year. Polling consistently shows that when voters learn Obamacare reduces quality, even Democrats oppose it.

Obamacare then charges people double for junk coverage. The Congressional Budget Office estimates that without Obamacare, most people could obtain better coverage at lower premiums. Most enrollees could buy "a comprehensive major medical policy" with "lower deductibles or wider provider networks" than Obamacare plans, at premiums "as much as 60 percent lower" than the lowest-cost Obamacare plans.

Democrats fear that if consumers see their full premium (i.e., the full cost of Obamacare's regulations), they won't voluntarily sign up for overpriced junk.

Democrats see subsidies as the solution. They want premium subsidies for households earning up to $600,000 at a 10-year cost of $440 billion. Households earning $200,000 annually could receive subsidies of $12,000.

Democrats who once counted on the stupidity of the American voter are now banking on the stupidity of Republican lawmakers all because they won't acknowledge that Obamacare is an unaffordable failure.

Rather than give even more money to inefficient private insurance companies, Republicans and Democrats should remove barriers to high-quality, low-cost coverage. They should expand access to health insurance exempt from Obamacare's unpopular regulations via renewable term health insurance and health plans available in U.S. territories.

To spur Congress to act, President Trump should unilaterally end the illegal exemption from Obamacare that President Obama granted Congress.

Older

BUILDING FINANCIAL SECURITY: INSIGHTS FROM BRANDON SMITH'S JOURNEY IN FINANCIAL SERVICES

Newer

N.A.I.C. FOUNDATION INTERNSHIP PROGRAM: EMPOWERING THE NEXT GENERATION OF INSURANCE PROFESSIONALS OCT. 8, 2025

Advisor News

  • Americans aren’t turning retirement plans into action, LIMRA finds
  • Ashley Hinson ‘death tax’ story collides with truth
  • How advisors can prepare clients for an uncertain retirement landscape
  • Investors aren’t waiting out uncertainty
  • Transamerica and Advo(k)ate Advisors launch pooled employer plan
More Advisor News

Annuity News

  • Corebridge annuity sales slip ahead of Equitable marriage
  • California teachers settle class-action lawsuit over in-plan annuity fees
  • Jackson Financial CEO caps 40-year career with blockbuster Q2
  • Lumos Insurance introduces the Immediate Care Plan to help families fund long-term care
  • NAIC regulators begin consensus phase on annuity illustration overhaul
More Annuity News

Health/Employee Benefits News

  • Ashley Hinson unveils insurance transparency bill amid scrutiny of her health care record
  • Why Gen Z turns everything – even murder – into a joke
  • Ashley Hinson unveils insurance transparency bill amid scrutiny of her health care record
  • 3 summer sales habits that build next year’s pipeline
  • ADMINISTRATION POLICIES GO BEYOND 2025 REPUBLICAN RECONCILIATION LAW, DEEPENING ITS HARM
More Health/Employee Benefits News

Life Insurance News

  • Indiana eyes more oversight of insurance companies' exposure to private credit
  • HEALEY-DRISCOLL ADMINISTRATION RETURNS $14.5 MILLION TO HEALTH AND DENTAL INSURANCE CONSUMERS AND BUSINESSES
  • ‘Uniquely positioned’: Equitable outlines future post-Corebridge merger
  • Don't keep checks with clerical errors
  • The insurance distributor that builds its own software will win the next decade
More Life Insurance News

NEWS INSIDE

  • Companies
  • Earnings
  • Economic News
  • INN Magazine
  • Insurtech News
  • Newswires Feed
  • Regulation News
  • Washington Wire
  • Videos

FEATURED OFFERS

Press Releases

  • Royal Neighbors Unveils Its 2026 Scholarship Recipients 2026 Royal Neighbors Scholars Making a Difference Across the Country
  • Ibexis Announces Expanded Bank Relationships and New Index Options for FIA Plus® and WealthDefender® Series
  • Agent Review Launches Video AI Identity Verification to Help Protect Insurance Professionals, Consumers and Public Trust
  • Prosperity Life GroupSM Launches Prosperity PathWaySM Series, Bringing Greater Choice and Flexibility to Retirement Income Planning
  • Senior Market Sales® Fortifies Annuity Reach With Acquisition of Retirement Planning Firm Stratton & Company
More Press Releases > Add Your Press Release >

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Advisor News
  • Annuity Index
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • From the Field: Expert Insights
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Magazine
  • Insiders Only
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Washington Wire
  • Videos
  • ———
  • About
  • Meet our Editorial Staff
  • Advertise
  • Contact
  • Newsletters

Top Sections

  • AdvisorNews
  • Annuity News
  • Health/Employee Benefits News
  • InsuranceNewsNet Magazine
  • Life Insurance News
  • Property and Casualty News
  • Washington Wire

Our Company

  • About
  • Advertise
  • Contact
  • Meet our Editorial Staff
  • Magazine Subscription
  • Write for INN

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2026 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • InsuranceNewsNet Magazine

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.
Insurance News | InsuranceNewsNet