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Small Business Employee Benefits and HR Blog

Expert Fears Health Reform Means the End of Employer-sponsored Health Insurance

end of employer health insuranceAccording to Derek Thompson of the Atlantic, Andrew Webber, President and CEO of the National Business Coalition on Health, a national, not-for-profit organization that represents public and private sector employers fears health reform means the end of group health insurance.

"A lot of industries, especially low wage, have provided pretty skimpy benefits for employees that are technically illegal under the law.* So when McDonalds [one of those companies] threatened to drop health care, the administration gave them an exception to provide minimal care. 

But I think it's just for this transition period When we get to 2014 and state insurances are set up, then there is an opportunity for individuals, employees in small companies and workers in certain industries with low wages to get on state health care exchanges. We'll see how that unfolds."

"Big picture, what worries me is the president said, 'If you like your current coverage, we won't touch it.' Individuals with jobs enjoy getting health insurance through their employer. But there is no question that with the new regulation, more employers are asking the question, 'Are we going to stay in the game?' Maybe we're moving to a system and people get a voucher and they find insurance on the exchanges. That worries me."

Click here to read the full article. 

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