CMS Predicts 65% Of Small Businesses Will See Health Premiums Increase


The bad news about Obamacare just keeps coming. Today it’s the news that a report predicts that 65% of small businesses will see their health insurance premiums rise thanks to the dreadful law. Oh, and this wasn’t a report written by a conservative think tank, it came from the Centers for Medicare and Medicaid Services.

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The report, from the Centers for Medicare and Medicaid Services Office of the Actuary, is the latest piece of bad news for the president’s signature domestic achievement. While the law was designed to curb rising health costs, some consumers have seen their premiums or other out-of-pocket costs increase this year, or had their plans canceled altogether.

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The report analyzed employers with 50 or fewer full-time employees that buy outside insurance policies for workers, a group it estimated at 17 million people in 2012. It focused on a piece of the 2010 law that prevents insurance companies from pricing policies based on customers’ health status.

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Before this year, insurance companies could charge higher prices if an employer had older, sicker workers. Now, under theĀ Affordable Care Act, insurance companies can’t price on health status and are limited by the amount they can price by age. (Read More)

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According to the report 11 million American workers will be faced with higher premiums, and that’s just counting people who work for small businesses.

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Update: Linked by The First Street Journal – thanks!

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