As a business owner, the talk of industry and economic changes seem to be inevitable; but clarity on issues can become challenging, especially when dealing with complex subjects. Lately, we as a nation have been dealing with the important discussion of Health Reform. There are so many moving parts to this issue that we felt it was important to provide a basic Q & A in regards to this extensive subject:
Q: What does the current administration believe needs to be included in the Health Reform Plan?
A: The Obama administration has committed to work with Congress to pass comprehensive health reform in 2009 that controls rising health care costs, guarantees anyone the right to choose their own doctor, and assure high quality and affordable care for Americans.
Q: Who pays for health care now?
A: Three out of five Americans receive health insurance through employers, either as a worker or as a qualified dependent of a worker. However, once that person retires or loses their job, their coverage ends. They are then forced to either find individual coverage through private insurers or go without coverage entirely.
Q: Why is this seen as a problem?
A: With rising costs in the health care field and increased unemployment levels, political leaders are worried there will be a rise in uninsured Americans.
Q: If there is a public plan offered, will I be able to keep my employer sponsored plan?
A: Maybe. Since it is proposed that a public plan will compete against the private insurers, it is hard to say whether or not employers will keep offering a health benefit plan to their employees if the public plan ends up being less expensive.
Q: When will the Health Reform take effect?
A: That part is not clear at this point. What we do know is that the administration has been persistent in trying to make something happen by the end of this year.
Q: How can this affect me as a small business owner?
A: Depending how the legislation will classify small business owners, employers may have to make a decision on whether or not to buy into the national insurance exchange plan (public option) or from a private insurer. And, for those employers that do not provide health insurance for their employees could face additional taxes based on income levels.
At Xenium, we urge employers and participants to stay tuned-in to the ever-changing landscape of Health Reform. There are plenty of sources for information on this topic, including a benefits team at Xenium who can answer many of your questions. Please visit www.XeniumHR.com for more information on our benefit programs and contact information for our team.
