You ever ask yourself why Democrats are so against small and mid-size businesses being able to pool resources and get the lowest bid possible on healthcare for their employees? I certainly could be wrong, but I think it boils down to Obama’s legacy and they’re going to go down kicking and screaming even if changes make sense.
Having been a business owner with around 370 employees, I can tell you that the most challenging thing we went through every year was how to deal with rising healthcare costs; it was our second highest expense beyond payroll. We only had a handful of insurance carriers we could work with since we weren’t allowed to go across state lines and knowing we had limited options, they often jacked up our rates close to 10% every year. We just couldn’t stop it because our hands were tied.
Now with what the Republicans have come up with, businesses like mine can now pool together with other businesses to gain economies of scale in negotiating with insurance carriers. In other words, instead of the insurance company dealing with a company with 370 employees they’d possibly have to deal with a combined resource allocation of 1,000 employees or more of several companies who pool together. Even small businesses can gain negotiating leverage by having their 12 employees pooled together with several other small companies…there’s definitely power in numbers when it comes to dealing with insurance companies.
The other important aspect of what the Republican plan provides is that businesses can cross state lines in negotiating with carriers. In other words, we were limited because we couldn’t go outside of North Carolina for bids but under their plan we could go to Montana or any other state where the insurance companies might have not only better prices but better insurance options. This is a win for the employers and the employees.
The bottom line is Obama Care couldn’t sustain itself. Insurance premiums were skyrocketing so Democrats kept trying to subsidize the increases with tax revenues which if you remember, Obama Care wasn’t supposed to do. Many people were opting out of Obama Care willing to pay the penalty versus the high premiums. There’s no easy solutions to the increased costs of medical care but as for me, I’d take the Republican’s plan over Obama Care any day.
Having been a business owner with around 370 employees, I can tell you that the most challenging thing we went through every year was how to deal with rising healthcare costs; it was our second highest expense beyond payroll. We only had a handful of insurance carriers we could work with since we weren’t allowed to go across state lines and knowing we had limited options, they often jacked up our rates close to 10% every year. We just couldn’t stop it because our hands were tied.
Now with what the Republicans have come up with, businesses like mine can now pool together with other businesses to gain economies of scale in negotiating with insurance carriers. In other words, instead of the insurance company dealing with a company with 370 employees they’d possibly have to deal with a combined resource allocation of 1,000 employees or more of several companies who pool together. Even small businesses can gain negotiating leverage by having their 12 employees pooled together with several other small companies…there’s definitely power in numbers when it comes to dealing with insurance companies.
The other important aspect of what the Republican plan provides is that businesses can cross state lines in negotiating with carriers. In other words, we were limited because we couldn’t go outside of North Carolina for bids but under their plan we could go to Montana or any other state where the insurance companies might have not only better prices but better insurance options. This is a win for the employers and the employees.
The bottom line is Obama Care couldn’t sustain itself. Insurance premiums were skyrocketing so Democrats kept trying to subsidize the increases with tax revenues which if you remember, Obama Care wasn’t supposed to do. Many people were opting out of Obama Care willing to pay the penalty versus the high premiums. There’s no easy solutions to the increased costs of medical care but as for me, I’d take the Republican’s plan over Obama Care any day.
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