Haggling for Healthcare

With less than a month to go before what’s been one of the most contentious presidential elections in history, the current administration has admitted that healthcare premiums under Obamacare could more than double for many people—as much as 116 percent in the coming year—if they are able to get insurance at all.

While it’s unclear whether Obamacare is heading towards a “death spiral,” these increases and the inability of many consumers to afford even basic plans will inevitably have an impact on the entire business community, which could adopt a bunker mentality and start revamping expansion plans and employment cutbacks. It’s not a scenario that’s good for anyone.

I’m not politicking for any party. But the numbers are a bit frightening. The Department of Health and Human Services now estimates that if a person is making $25,000 a year, government subsidies will cover a little less than half of the most basic policy.  If someone is making  $30,000 or $40,000 the subsidy would be significantly lower.

It should be pointed out however, that the true impact of the rate increases may be overblown and are only asking prices and could be cut by state regulators. In other words, it might be just the dealer’s suggested price on that Tesla you’ve had your eye on. Time to sit down and deal.

I don’t want to downplay the seriousness of premium increases to you or your employees. But let’s take a breath and look at things logically before we decide whether this is a jobkiller.