Uh oh, another problem with Obamacare. Apparently it contains provisions that encourage employers to offer "skinny" plans that cover routine medical care but not surgery, hospital stays, or having a baby. Obamacare is exactly the opposite of insurance! Too bad no one read this monstrosity before it became law. Good job, America.

People buy insurance to pay for low-probability, high-cost and undesirable events. It doesn't make sense to hold onto enough cash to replace your house if it burns when you can buy an insurance policy that will cover that unlikely disaster.

But Health and Human Services Secretary Kathleen Sebelius has a different idea of what insurance is. In response to an American Society of Actuaries report that health premiums would rise 32 percent under ObamaCare, she said, "Some of these folks have very high catastrophic plans that don't pay for anything unless you get hit by a bus." ...

But as the Daily Beast's Megan McArdle commented, "Coverage of routine, predictable services is not insurance at all; it's a spectacularly inefficient prepayment plan." ...

People stuck with these policies will have insurance that pays for the equivalent of oil changes (up to six a year!) but not for the equivalent of wrecked car. Just the opposite of real insurance.

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