Why Would Congress Compel Young Adults to Buy Health Insurance They Don't Need? | Aaron Yelowitz | Cato Institute: Commentary

Why Would Congress Compel Young Adults to Buy Health Insurance They Don't Need? | Aaron Yelowitz | Cato Institute: Commentary: "Obama won the presidency with 66% of the vote among adults ages 18 to 29 - a larger share than any presidential candidate in decades. So it's ironic that his health plan could impose its greatest hidden taxes on young adults."

"The legislation before Congress would force young adults to purchase health insurance at prices far higher than the market would charge. The legislation would use that hidden tax to reduce premiums for their parents, who typically have higher incomes."

"Forcing young adults to purchase health insurance, and forcing them to pay actuarially unfair premiums, effectively taxes the young to subsidize the old. Never mind that median family income for households headed by someone in his 50s ($60,000) is nearly double that for households headed by someone in their 20s ($33,000).

A desire to redistribute income is the only thing that can explain a policy of forcing young adults to pay above-market premiums for health insurance. Gruber estimates that one bill before Congress would charge young adults at least 62% more than those low-cost California plans, even if they qualify for government subsidies. Young adults could end up paying hundreds or thousands of dollars more, many of them for a product they didn't want in the first place."