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3 of 10 Employers will stop offering Health Benefits due to ObamaCare by 2014
MarketWatch ^ | June 6, 2011 | Russ Britt

Posted on 06/06/2011 3:18:02 PM PDT by GlockThe Vote

June 6, 2011, 2:40 p.m. EDT Firms halting coverage as reform starts: survey 30% of companies say they’ll stop offering health plansStories You Might Like By Russ Britt, MarketWatch http://www.marketwatch.com/story/firms-halting-coverage-as-reform-starts-survey-2011-06-06

LOS ANGELES (MarketWatch) — 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.

(Excerpt) Read more at marketwatch.com ...


TOPICS: Business/Economy; Education; Health/Medicine; Miscellaneous
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June 6, 2011, 2:40 p.m. EDT Firms halting coverage as reform starts: survey 30% of companies say they’ll stop offering health plansStories You Might Like By Russ Britt, MarketWatch http://www.marketwatch.com/story/firms-halting-coverage-as-reform-starts-survey-2011-06-06

LOS ANGELES (MarketWatch) — 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.

Click to Play Are profit forecasts too optimistic? A 4% economic-growth rate for 2011 now looks like a pipe dream. In that case, assumptions about corporate earnings may be high, especially with the Federal Reserve's latest bond-buying program winding down. Kelly Evans discusses. “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.

It goes on to add: “Contrary to what employers assume, more than 85% of employees would remain at their jobs even if their employers stopped offering [employer-sponsored insurance], although about 60% would expect increased compensation.”

A number of competitors will emerge in the insurance market once reform provisions start to take effect, according to the McKinsey Quarterly study. These firms will be needed to provide a transition for those moving from employer-sponsored insurance to other coverage options.

Insurers will have to adapt to new realities and look for ways to keep the policy holders they have, the study says, but that shouldn’t be difficult. “Our research shows that more than 70% of employees would stay with their insurer if it offers a seamless transition and appropriate products. Each payer also must understand how changing employer-benefit strategies will shift the risk profile of its membership and set prices appropriately.”

Russ Britt is the Los Angeles bureau chief for MarketWatch.

1 posted on 06/06/2011 3:18:02 PM PDT by GlockThe Vote
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To: GlockThe Vote

HOPE & CHANGE!!!!!!!!!!!!!!


2 posted on 06/06/2011 3:18:32 PM PDT by GlockThe Vote (F U B O ! ! !)
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To: GlockThe Vote

“Hope! CHANGE!”


3 posted on 06/06/2011 3:18:53 PM PDT by KentTrappedInLiberalSeattle ("If you're not fiscally AND socially conservative, you're not conservative!" - Jim Robinson, 9-1-10)
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To: GlockThe Vote

How many times did we hear “You vill get to keep your coveritch!!!” ?


4 posted on 06/06/2011 3:22:26 PM PDT by FreeKeys (Liberals evade reality all the time. Then they blame others for the inevitable consequences.)
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To: FreeKeys

YOU LIE!!!!!!


5 posted on 06/06/2011 3:22:57 PM PDT by GlockThe Vote (F U B O ! ! !)
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To: GlockThe Vote

“It goes on to add: “Contrary to what employers assume, more than 85% of employees would remain at their jobs even if their employers stopped offering [employer-sponsored insurance], although about 60% would expect increased compensation.” “

I don’t necessarily believe this. Health insurance is my biggest reason for staying where I am. If that goes away, I would pursue something far more enjoyable and would even consider a pay cut to do so, and I think there are lots of folks in my situation.


6 posted on 06/06/2011 3:24:36 PM PDT by DonaldC (A nation cannot stand in the absence of religious principle.)
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To: GlockThe Vote
They need to over-regulate and price-out the employers from offering good health benefits. Socialism only works when people think they need the ‘state’ to run their lives. Politically connected ‘friends’ and insurers will come out as profitable under the current projected scenario. Everyone else will be lost in bureaucracy.
7 posted on 06/06/2011 3:25:03 PM PDT by allmost
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To: GlockThe Vote

8 posted on 06/06/2011 3:28:13 PM PDT by Uncle Miltie (0bamas PLAN is national bankruptcy. Our plan is to save Medicare and Social Security with reforms.)
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To: GlockThe Vote

Already dropped ours. Mostly because nobody has any money to spend and the premiums keep going up.


9 posted on 06/06/2011 3:29:26 PM PDT by driftdiver (I could eat it raw, but why do that when I have a fire.)
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To: GlockThe Vote

This is all part of the plan, which is to force Americans to run to the govt. for their healthcare coverage.


10 posted on 06/06/2011 3:29:43 PM PDT by Signalman
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To: DonaldC

No employer is going to be able to afford ofring health benes.

Obama is TRYING to collapse the system.


11 posted on 06/06/2011 3:30:22 PM PDT by GlockThe Vote (F U B O ! ! !)
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To: GlockThe Vote
This doesn't surprise me at all. My company is certainly considering it.

We just renewed our group health insurance, and by a moment of luck, they actually reduced our premiums $40 a month which is a nominal drop in the bucket.

According to our broker, you can either grandfather your plan, or get new rates. Grandfathering means you absolutely cannot change any teeny tiny thing about the plan. Not Grandfathering the plan means you have to follow every new rule that is in the DeathCare bill.

It used to be, for group health plans, that as long as 75% of the population (work) was on some sort of plan; yours, their spouses, VA, whatever, you were good to go with the plan. And if you Grandfather, this still holds true.

Now, under the new rules and regulations of a new group plan, 75% of the population (work) must be on YOUR group plan, doesn't matter if their spouse has a better plan at their place of work.

The second rule, was that all the plans had to be equal, meaning that brass didn't get a better plan than employees. (Not a problem for us).

We absolutely couldn't meet the 75% mandatory participation rate. We Grandfathered, and hope dearly that this beast is recalled. We're seriously looking at dropping our group health plan for the company.

12 posted on 06/06/2011 3:33:40 PM PDT by RikaStrom (Pray for Obama - Psalm 109:8 "Let his days be few; and let another take his place of leadership.")
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To: RikaStrom

Mine skyrocket 50% since they passed TraitorCare.

This is one of the reasons I have rid my life of every POFS who voted for this scumbag. I lost friends over this, but screw em, I want nothingto do with anyone who voted for this on any level whatsoever.


13 posted on 06/06/2011 3:36:15 PM PDT by GlockThe Vote (F U B O ! ! !)
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To: GlockThe Vote

HOAX & CHAINS!


14 posted on 06/06/2011 3:40:19 PM PDT by Blood of Tyrants (Islam is the religion of Satan and Mohammed was his minion.)
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To: Blood of Tyrants

You have no idea how pissed off i am over this. my premiums have skyrocketed since they passed this crap.


15 posted on 06/06/2011 3:48:13 PM PDT by GlockThe Vote (F U B O ! ! !)
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To: DonaldC
Health insurance is my biggest reason for staying where I am. If that goes away,,,,

In the America of 0bama's WTF economics there will be a dozen unemployed people applying for your present job even if it has no health coverage?

16 posted on 06/06/2011 3:54:18 PM PDT by TYVets (Pure-Gas.org ..... ethanol free gasoline by state and city)
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To: Blood of Tyrants
Photobucket
17 posted on 06/06/2011 3:57:53 PM PDT by BobP (The piss-stream media - Never to be watched again in my house)
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To: GlockThe Vote

Everybody’s premiums went up because the insurance companies are just trying to get all they can before the federal government puts them out of business.


18 posted on 06/06/2011 3:59:15 PM PDT by Blood of Tyrants (Islam is the religion of Satan and Mohammed was his minion.)
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To: GlockThe Vote

An Great Mommy Gobermint will be right there to catch us when they do.


19 posted on 06/06/2011 4:05:26 PM PDT by fwdude (Prosser wins, Goonions lose.)
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To: Blood of Tyrants; GlockThe Vote
Everybody’s premiums went up because the insurance companies are just trying to get all they can before the federal government puts them out of business.

Our broker flat out told us this last year when we renewed and everyone jumped 44%, and we didn't even have any claims on our insurance.

Every year I try to find affordable benefits for our employees and this year, we literally had no choice but to stay with what we have. We couldn't meet their draconian requirements.

Hope and Change... uh huh.

20 posted on 06/06/2011 5:06:54 PM PDT by RikaStrom (Pray for Obama - Psalm 109:8 "Let his days be few; and let another take his place of leadership.")
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