However, the maximum fine for those who refuse to purchase health insurance is $750. [2] Even factoring in government subsidies, the cost of purchasing a plan is much more than $750. The result: many people, especially the young and healthy, will simply not buy coverage, choosing to pay the fine instead. They?ll wait until they?re sick to buy health insurance, confident in the knowledge that insurance companies can?t deny them coverage. Such a scenario is a perfect storm for increasing the cost of health care and creating an unsustainable mandate program.
This senario is exactly why this will drive private insurance out of business. If they are required to take pre-existing conditions they will never be able to collect enough premium money to break even.