The reason these denials exist is that insurance companies know that if they cover folks with pre-existing conditions, premiums will skyrocket for everyone because the costs of actual care will go up significantly.
The way this is handled in the current form of health care reform is to mandate coverage for everyone - thus broadening the pool of people covered to include both those that are healthy and those with pre-existing conditions.
Republicans are aware that covering people with pre-existing conditions is very popular and the mandate is very unpopular. So they want to have all the goodies without the accountability and favor the former but oppose the later.
So what's their solution for how to pay for the coverage of people with pre-existing conditions? Government!
Here's Rick Ungar on that.
So, how would the Republicans provide for coverage of those with pre-existing conditions without the need for mandated purchase of health care?
Their answer is to create government supported high-risk insurance pools, operated by the states and funded with federal financial assistance for those with pre-existing medical conditions.
Ungar goes on to explain how these kinds of government-run high risk pools already exist in 34 states are are not working for several reasons (ie, required waiting periods of 6-12 months for coverage and the fact that they are chronically underfunded - making them basically inaccessible for those who need it.)
But beyond all that - how dare the Republicans scream and cry about the Affordable Care Act as a giant government take-over of health care when it isn't - but their alternative certainly is? And oh the irony of a Democratic approach that requires individual Americans to purchase their own insurance from a private entity vs. a Republican approach that says the government should do it.
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