If you listened to President Barack Obama and some members of Congress talk about health care, you would most certainly believe that your premiums will miraculously go down now that they have passed their very complex health insurance reform bill. On numerous occasions during his presidential campaign, Obama stated that a family would see its health insurance premiums go down by $2,500 per year if reforms were passed. You also were told — and might believe — that millions more Americans now will be insured and jobs will flourish.

I am going tell you why none of that will happen. (Please note: This article is based upon information that was available as of March 25, and things are changing at warp speed.) Let's take a look at the sections of the Senate bill that impact costs:

Minimum Medical Loss Ratios: Insurance carriers pay policyholder medical bills in one of two ways: Either through the premium dollars they collect or through investment returns. Currently, in the individual health market, about 75 cents of every dollar is paid out in claims. The balance goes to pay taxes, network management fees, set-asides for required reserves, marketing materials, rate filings, distribution fees, coordination of other governmental programs; about 2.2 percent is left over for profit.