Monday, December 16, 2013

Proof that the Affordable Care website is vastly improved comes in the form of 500 million advertising dollars coming from insurance companies.

Courtesy of the Washington Post:  

In all of 2012, health insurers spent $216 million advertising on local television stations. But that's nothing compared to what they're about to spend. According to trade association TVB, insurers will spend more than $500 million on local television ads in 2014. And that's to say nothing of cable television ads and social media campaigns. 

Insurers look at these next few years as a gold rush. Tens of millions of people will be buying private insurance of the exchanges. It's a swarm of customers like nothing they've ever seen. And they plan to capture them — even if they need to spend hundreds of millions of dollars to do so. 

The Wall Street Journal reports that WellPoint has been holding off "on a planned campaign as problems with the website made it impossible for many consumers to sign up." But now that HealthCare.Gov is more or less working the insurance giant plans to spend $100 million by the end of the year. 

These ads aren't just a boon to local television stations. They're a boon to the new health law which'll be promoted in a sustained ad campaign that rivals the presidential election in size and scale. The ads won't be specifically about Obamacare, of course — they're about brand building for WellPoint and Cigna and others insurers — but many of the ads will tell consumers where they can go to buy this wonderful product they've just heard such glowing things about. Many of the ads will capture the eye of someone who knows they need to buy insurance before tax time but hasn't quite gotten around to doing it. And then it will direct them to their local exchange, or at least to their insurer's Web site. 

The fact that the insurers are launching their campaigns is also independent confirmation that HealthCare.Gov is rapidly improving. major insurers are virtually the only group aside from the federal government that has real visibility into the functioning of Obamacare's digital architecture. They know what the pace of enrollment looks like, and how many 834s are being correctly generated, and whether angry customers are calling their help lines. They know there are still problems even if the Obama administration is downplaying them. But if they think the system is sound enough to begin driving people to it that's good evidence that the improvements are real.

And another GOP attack strategy goes the way of the IRS scandal, Benghazi, and Fast and Furious.

And this dramatically changes the playing field in the upcoming 2014 elections.

The Republicans had convinced themselves that they could use Obamacare to beat up on the Democrats, but if the exchanges are working, and more and more Americans are seeing the benefits, that will leave them with nothing but their records of obstructionism and the misinformation they spread about how this would all fail to work out to overcome on the campaign trail.

4 comments:

  1. O/T:
    "Woman Hits Salvation Army Bell Ringer For Saying 'Happy Holidays' Instead of 'Merry Christmas'"

    http://crooksandliars.com/2013/12/baby-jesus-told-her-give-bell-ringer-good

    Thanks a bunch, Sarah ....

    ReplyDelete
  2. Anonymous4:02 PM

    Follow the money. Always follow the money.

    ReplyDelete
  3. Nikogriego8:01 PM

    Too bad we don't have single-payer. Then all those advertising dollars would not have to be spent enticing new customers, and all that insurance money could be allocated to actually treating people's health. What a joke this system is.

    The Affordable Care Act, while improving the coverage, is a windfall for insurance companies by mandating millions of new customers whose premiums are subsidized by tax dollars-a ridiculous proposition. Why not just use tax money in a single-payer, Medicare for all system? Cradle to grave coverage for all U.S. citizens, with no payment by us except through a moderate tax increase. Cut out all the middle men skimming profits, all the paperwork, all the crappy plans that don't cover anything that you need, all the copays; all the ridiculous capitalistic profit-driven insanity that keeps our population continually worried about getting sick and going broke.

    ReplyDelete
    Replies
    1. Anonymous10:43 PM

      Yes, Niko, you know that, and I know that, and most progressive Americans know that. It makes sense, which is why the Republican Roadblock will never allow it to happen here. The middlemen, not to mention the high mucky-mucks, are the ones driving the show. The ACA is as good as it is going to get in this country for the foreseeable future.... but I will always hold out hope that it's just a stepping stone toward real universal single-payer healthcare.

      Delete

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