ObamaCare gimmicks won’t secure more young enrollees
A recent flurry of ObamaCare marketing gimmicks aimed at young Americans reeks of desperation on the part of the administration and Illinois state officials. Recent examples coming from the White House include a “Funny or Die” spoof interview featuring President Barack Obama with comedian Zach Galifianakis to a series of health care-themed GIFs on the...
A recent flurry of ObamaCare marketing gimmicks aimed at young Americans reeks of desperation on the part of the administration and Illinois state officials.
Recent examples coming from the White House include a “Funny or Die” spoof interview featuring President Barack Obama with comedian Zach Galifianakis to a series of health care-themed GIFs on the White House website where visitors are encouraged to vote on their favorite image.
In Illinois, officials are taking a page from the ObamaCare playbook. Digital ads on the satirical site, the Onion, and the “Don’t dress like a pizza” video ad are part of the state’s Get Covered Illinois marketing arsenal.
While these ads are likely driving traffic to the Get Covered Illinois website, the question remains: Will Illinois’ $33 million advertising campaign be enough to convert some high-priced giggles into young people actually purchasing coverage? If past attempts provide any clue, the answer is a resounding no.
There have already been numerous failed attempts to appeal to the highly coveted “young invincibles,” or people ages 18-34. These ill-conceived marketing ploys include a U.S. Department of Health and Human Services video contest, Colorado’s cringe-worthy Brosurance, the widely mocked pajama boy, the Diane Feinstein-doppelganger “Angry Mom” and more. These ads might increase the number of clicks on government websites, but they do not change the reality that ObamaCare is a bad deal.
Young invincibles make up just less than one-quarter of the ObamaCare “enrollments” in Illinois. That is far short of the 38 percent target the administration needs to balance out the older and sicker patients in the insurance risk pool. If more young people don’t enroll, the risk pool will be dominated by the older and sicker individuals. As a result, premiums will necessarily rise – by a lot.
This destroys the basis of the risk pool, leaving much higher prices and even more incentives for healthy people to leave the risk pool. Referred to as the “death spiral,” only the oldest and sickest would remain in the risk pool as premiums skyrocket – driving premiums even higher.
Young invincibles are not going to be swayed by more of the same, shopworn ObamaCare marketing gimmicks. Faced with the prospects of high premiums, high deductibles and policies larded up with benefits that they do not need, many young invincibles do not see the value in buying policies that don’t meet their individual needs and preferences – especially at an inflated price.
A video of a guy dressed as a pizza is not going to change that reality. While some Illinois officials might perceive themselves as marketing trailblazers, the sad reality is that they aren’t going to close this deal.