Tuesday, June 7, 2011

If you like your health-care you can keep it except for the 30% being dumped by your employers

Remember during the Obamacare debate when President Obama and Democrats promised you could keep your health care if you liked it? The landing site for healthreform.gov used to promise you could keep your insurance if you liked it. This promise has been replaced by a faded image that redirects you to a new site that touts your wonderful options under Obamacare. Keeping your insurance isn't one of the options touted anymore.

The faded promise:
That promise has faded and been chucked down the old memory hole. Republicans always claimed that Obamacare would provide incentives for employers to drop you into the new health care insurance exchanges or even into Medicare.  Here is the proof Republicans were right.
Once provisions of the Affordable Care Act start to kick in during 2014, at least three of every 10 employers will probably stop offering health coverage, a survey released Monday shows.

While only 7% of employees will be forced to switch to subsidized-exchange programs, at least 30% of companies say they will "definitely or probably" stop offering employer-sponsored coverage, according to the study published in McKinsey Quarterly. 

The survey of 1,300 employers says those who are keenly aware of the health-reform measure probably are more likely to consider an alternative to employer-sponsored plans, with 50% to 60% in this group expected to make a change. It also found that for some, it makes more sense to switch.

"At least 30% of employers would gain economically from dropping coverage, even if they completely compensated employees for the change through other benefit offerings or higher salaries," the study says.
Many of you are going to lose your current health care coverage, whether you like it or not. The survey found the more employers knew about the new law, the more likely they are to drop your coverage. The 30% number is going to go up as time passed and more employers realize the opportunity they have been handed.

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