A new study finds that about 10% of employers will drop health insurance for their employees thanks to Obamacare. The number went up significantly when employers were asked if they would drop coverage if the law forces them to provide better benefits than they do now.
As President Obama’s health-care overhaul takes effect in the next few years, close to one-in-ten employers will stop offering health-care coverage for their workers, according to a new study. Companies with between 50 and 100 workers will be most likely to drop coverage for employees, according to the findings.
Deloitte, a consulting company, found that once changes are enforced in the health-care system via the Affordable Care Act, 9% of employers will drop offerings in the following one-to-three years. Deloitte found 81% were planning to continue offering coverage and 10% were unsure of how they would proceed.
Close to one-third of respondents said they might drop coverage if Obamacare forces them to provide better benefits than they currently do, or if the cost of not offering benefits is less than the cost-per-worker to offer health insurance. Businesses with at least 50 employees will be subject to paying $2,000 per-worker, per-year. There are tax breaks for businesses that do offer coverage. (Read More)
This will probably only get worse, especially considering that the CBO found that the cost to businesses will be $4 billion more than initially projected. And that number is coming from someone with an interest in spinning the numbers into the best possible light.
So much for Obama’s promise that if you like your plan you can keep it.