Top Democrats Threaten Insurers Who Blame Rate Increases on Reform Law

Conservative commentators are surprised by the ferocity of top Democrats' anti-free speech responses to insurers who have been blaming 2011 rate increases on new requirements for the industry under the healthcare law, which begin this week.


In a Sept. 20 letter to several nationwide health insurers, Sens. Max Baucus (D-Mont.) and John D. Rockefeller IV (D-W.Va.) warned the companies would be monitored for any increases they propose, according to a report by Reuters News.

 

And in a Sept. 9 letter to America's Health Insurance Plans, the health insurers' trade group, HHS Secretary Kathleen Sebelius warned "there will be zero tolerance for this type of misinformation and unjustified rate increases." She added: "We will also keep track of insurers with a record of unjustified rate increases: those plans may be excluded from health insurance Exchanges in 2014."

 

An editorial in the Washington Examiner saw Ms. Sebelius' statement as a denial of free speech. The paper said she was "threatening health insurers who dare to blame Obamacare for 'unreasonable' rate increases. She will blacklist violators from participating in future government-run health insurance exchanges, thus putting many of them out of business." It added: "Sebelius is telling private firms: 'Shut up or we will destroy you!' "

 

In a piece titled, "Sebelius Has a List," the Wall Street Journal said Ms. Sebelius' statement was a bald threat. "In other words," the newspaper wrote, "insurers must accept price controls now or face the retribution of a de facto ban on selling their products to consumers four years from now." It added: "This is nasty stuff and an obvious attempt to shift political blame for rising insurance costs before the election."

 

An Examiner reader wrote in: "Since when is threatening a trade association — and not just past malfeasants — with blacklisting for disagreeing with official policy been a power of government? The CBO itself has said that Obamacare will raise costs; should Sibelius threaten them, too?"

 

Read the Reuters report on the senators' letter.

 

Read Kathleen Sebelius' letter to America's Health Insurance Plans.

 

Read the Wall Street Journal coverage of the responses to the new healthcare law.

 

Read the Washington Examiner editorial about the letter from Kathleen Sibelius .

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