Comment Re:Why the PPACA was necessary (Score 5, Insightful) 507
Health insurance companies couldn't drop people when the customer gets sick prior to the ACA. The change is that they now can't deny coverage for previously existing conditions.
Its good for some little guys, however its bad for the majority of little guys. Some people will get coverage who otherwise would not have. The rest of us will have higher premiums.
That's pretty much the definition of insurance. Yes, you pay more than you likely would have to, but you don't get catastrophicaly screwed if you are 'that guy'. When you write 'the rest of us', you are assuming that you are the heathly person, and not the one with the previously existing condition. You don't know that. It might be true right now, but that could change tomorrow, based on some test or event.
Further, your analysis assumese that the costs for a person without an existing condition just disappear. They don't. That person, who possibly can't get insurance, ends up in the hospital anyway, and then costs are shared by everybody else because your insurance pays for it in higher hospital costs. When you go to the hospital, it costs $100 rather than $50 because there is $50 added for uninsured people. It's even worse than that because it's a hidden cost. You don't know what percent of that $100 is cost of treatment and how much is overhead cost by uninsured. Better to have everybody covered, your insurance go up by a little and then the hospital costing $50.