MEMO: Why We Need the Individual Mandate

Without a Mandate, Health Reform Would Cover Fewer with Higher Premiums

By Jonathan Gruber | April 8, 2010

WASHINGTON, D.C.—In light of conservatives’ recent calls for repealing the individual mandate contained in the new heath reform law, a new memo from Jonathan Gruber finds that without the individual mandate, the entire structure of reform would fail. According to Dr. Gruber, removing the mandate would:

Reduce the legislation’s insurance coverage gains by more than two-thirds, so that reform would cover fewer than one-fifth of the uninsured
Cause the reduction in employer-sponsored insurance to quadruple
Raise individual premiums in the exchange by 40 percent

Download this memo (pdf)

For more information or to speak with the author of the report, please contact Jason Rahlan at jrahlan@americanprogress.org

###