The penalty for ignoring ObamaCare’s “individual mandate” to buy health insurance next year is $95 per adult and $47.50 per child — up to $285 per family — or 1 percent of taxable family income, whichever is higher.
But it will jump to $325 per adult and $167.50 per child, or 2 percent of income, in 2015, and to $695 per adult and $347.50, or 2.5 percent of income, in 2016, with future hikes tied to cost of living.
Pacific Research Institute President Sally Pipes, author of “The Cure for Obamacare,” said that’s not enough to get healthy, young adults to shell out for coverage.
“Even though the price is down, the price is still very expensive,” she said. “People are not going to buy into this. Then the system will implode.”
Merrill Matthews, a resident scholar at the Institute for Policy Innovation, predicted a “death spiral” in which the rates rise over the next several years, leading healthy people to drop their coverage while “very sick” people “stay in until the very last drop,” forcing rates up even more.
“The death spiral is well known in health insurance,” he said.