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 theyll 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 ...
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 shouldnt 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.
HOPE & CHANGE!!!!!!!!!!!!!!
“Hope! CHANGE!”
How many times did we hear “You vill get to keep your coveritch!!!” ?
YOU LIE!!!!!!
“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.
Already dropped ours. Mostly because nobody has any money to spend and the premiums keep going up.
This is all part of the plan, which is to force Americans to run to the govt. for their healthcare coverage.
No employer is going to be able to afford ofring health benes.
Obama is TRYING to collapse the system.
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.
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.
HOAX & CHAINS!
You have no idea how pissed off i am over this. my premiums have skyrocketed since they passed this crap.
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?
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.
An Great Mommy Gobermint will be right there to catch us when they do.
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.
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