I decided to do some rudimentary calculations to approximate the cost of purchasing health insurance for 20 million people.
First, 20 million people are to be covered, consisting of families of four (two parents and two children). The result is that 5 million families are to be covered.
Second, family health insurance can be purchased for $10,000 per year. A family with annual income of $100,000 would be expected to spend 10 percent of that on annual health insurance.
Crunching the numbers, $50 billion would purchase insurance for 5 million families. To cover each person individually would cost four times as much, or $200 billion.
So, if 5 million families could purchase health care for $50 billion, why is our government preparing to spend $871 billion to $1 trillion?
This in no way passes the smell test. On the other hand, if the money is to be borrowed that's another story, subject to further mathematics.
Please check my math. If it's in the ball park, then we have a serious problem to solve.
George Heine
Bluffton
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