Daily News Updates - Health Insurance News

Do Elect Obama’s Health Plan, Pt.2 – Employer-based effects:  Q & A.

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Obviously, the Obama campaign promotes shoring up and even expanding the employer-based health insurance system. Their justification is their belief that, until recently, it has always worked well. Obama’s senior health care adviser, David Cutler summarizes it with "We need to build on success, not tear them down and try to build new plans." The Tax Policy Center seems to agree and estimates that five million more people would get health insurance coverage with this requirement of employers extending coverage. The Policy Center does however, find Obama's health insurance plan to be lacking details on most of everything else. A principal research associate with the Tax Policy Center, Robertson Williams doesn’t believe that Mr. Obama’s numbers are well supported.

One of the big questions he holds is how Mr. Obama will decide which small businesses are eligible for the health insurance credit and the size that larger employers must be to be mandated to pay into Obama’s national system. He would also like to see more clarity on exactly how workers would save as much as $2,500 a year in health insurance/care through these indirect and drawn-out incentives.

There is some concern from businesses that Obama's health insurance mandates would over-tax their resources when many are already struggling with this economic downturn. Though less than half (about 46%) of the businesses surveyed have spoken of great concern, the minority still report that a "strong negative effect on their workforce" could result from Obama’s "pay or play" mandate, according to the American Benefits Council.

Another question experts hold, is the definition intended by Mr. O when he proposes 'meaningful coverage’. Naturally, health insurance providers wonder if the policies they offer will be considered ‘acceptable’ by this standard. There are also concerns that a new standard may limit the flexibility of employers to offer the diverse plans they wish to offer. This view was expressed by James Klein, head of the American Benefits Council. We will soon get these answers and many others, should Mr. Obama prevail at the close of this Election Day.

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