With a penalty that was cheaper than having insurance. The actuaries aren't stupid. They know how to price things, and the risks introduced by Obamacare are just that much more expensive to the insurance companies.
It's also about time that Health Insurance is separated from Prepaid Medical.
The penalty still worked for some people, there is at least one example up thread of someone saying they are getting insurance because of the penalty
Some people think that having a mandate will still encourage some people get insurance even with the penalty dialed down to 0
The reason that prepaid medical is covered by insurance is because paying for 1000 flu shots is cheaper (and better for society) than having 10 people show up in the ER with the flu, and paying for yearly blood tests and cholestral medcine is cheaper (and better for society) than paying for rehab after a heart attack