Here’s some startling news on the Texas health insurance front. A new poll that surveys some of America’s largest companies shows that the health care legislation passed in 2009 creates incentives for employers to drop workers from company insurance plans. This is because it’s better financially for companies to drop workers from those plans rather than to keep them and adhere to the new health law standards.
This is obviously in stark contrast to the lawmakers’ claims, as we were promised better health care and broader coverage, without the fear of losing our current plan. Employees who are dropped from their employer-subsidized plans could be shifted over to government-run exchanges. If this occurs, the companies in question would be fined $2,000 per employee, which may sound steep, but would actually save companies nearly $30 billion in 2014 alone.
James Capretta of the Ethics and Public Policy Center confirms this, noting that “the penalties for the employers who drop coverage are very low, and the subsidies for the workers in the exchanges are very high.”
However, some analysts believe that companies would be hesitant to drop health coverage, but if one company does it, their competitors might follow suit, creating a snowball effect. It makes sense. A company would be reluctant to be the first, as it looks bad to potential employees. But once it starts happening, others might feel pressured to cut costs in a similar fashion.
This means lots of workers will need to procure an individual health insurance plan or enroll in the federal health insurance exchanges. The exchanges don’t sound so bad, especially with generous government subsidies mitigating costs. But those subsidies will eventually fall back on taxpayers anyway, costing us money in the long run.
This is yet another example of how ObamaCare is infringing upon the rights and wallets of individuals. In this case, it’s restricting our access to our preferred health care plans and providers. This isn’t the first instance of the government trampling our rights, and sadly, it won’t be the last. But the most important thing to remember is to always remain covered; whether you enroll in a federal exchange, a short-term plan, a health savings account or something else, keep that coverage in place to protect yourself during these tumultuous times.
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