Article Summary –
Real estate developer and millionaire banker, Eric Hovde, has made opposition to the Affordable Care Act (ACA) a significant part of his campaign for the Wisconsin Republican U.S. Senate nomination. However, according to a fact check by the Wisconsin Independent and analyses by two independent experts, Hovde’s claims about the ACA worsening the country’s healthcare system are inaccurate. The experts insist that the ACA has improved healthcare quality, increased coverage, and leveled off healthcare costs, contrary to Hovde’s arguments about the ACA causing deterioration in healthcare quality, rising insurance premiums, and increased healthcare costs.
Eric Hovde’s Obamacare Critique in Senate Race – An Analysis
Real estate millionaire Eric Hovde is running for the Wisconsin Republican U.S. Senate nomination, once again opposing the Affordable Care Act (ACA) or Obamacare as he did in 2012. His campaign has criticized ACA on his website, alleging it’s worsened the U.S. healthcare system since 2010. However, these claims are largely inaccurate according to independent experts and a fact check by the Wisconsin Independent.
Obamacare’s Impact on Healthcare Quality
Hovde claims that Obamacare has decreased healthcare quality over the past decade. Andrea Ducas from the Center for American Progress Action Fund and Donna Friedsam, a researcher at the University of Wisconsin, refute this, stating that Obamacare has improved quality by holding providers to higher standards.
Effect of ACA on Insurance Premiums
The Hovde campaign asserts that insurance premiums have risen due to Obamacare. While costs have increased, this trend predated the ACA and is mainly borne by insurance companies that now cover more services. It’s also worth noting that ACA has increased coverage, reducing the number of uninsured people in Wisconsin by nearly half.
Did ACA Increase Healthcare Costs?
Hovde argues that the ACA has elevated healthcare costs. Contrarily, Friedsam states that healthcare costs have stabilized since the ACA’s introduction, and more people now have coverage, leading to fewer out-of-pocket costs for patients. Hovde’s claim that insurance companies now need to increase costs to profit is refuted by Friedsam, who explains that ACA’s medical loss ratio allows insurers to spend only 20% of a person’s premium on profit.
ACA’s Impact on Prescription Drug Prices
Hovde suggests that Obamacare has caused drug prices to rise for people with preexisting conditions. However, Friedsam argues that rising drug prices are more related to increased prescription reliance and patent protections for pharmaceutical companies, not Obamacare. She further notes that ACA now requires insurance companies to provide coverage for people with preexisting conditions, totaling about 2.4 million Wisconsinites.
Note: Andrea Ducas is the vice president of health policy with the Center for American Progress Action Fund. (Correction, April 3)
—
Read More Wisconsin News
