Some of you will lose your current Health Insurance Provider. How is that? I’m Glad you asked. Not all employers insure their employees equally. Some have very extensive coverage and some have very limited or minimum coverage. The Government mandates that your employer cover at the maximum rate if you are a full time employee. A full time employee is defined by the Internal Revenue Service (IRS) as a person who works 30 or more hours per week. Well, some employers can’t maintain health benefits at maximum rate and make a profit at the same time. Employers will do one of three options.
- Cut your hours – You’ll keep your job and keep your insurance but you will take a pay cut because you will no longer work a 40 hour week.
- Accept the hike in coverage –You may see a hiring freeze at your job, little promotions, or pay raises. The money had to come from somewhere.
- Completely cut your health benefit – You will no longer receive healthcare through your employer. Don’t fret. You can still go to the Federal or State Exchange depending on what state you reside.
There are huge problems with the exchanges right now. The Supreme Court Decision made it an option for the states to accept the mandate. 23 States said that they will not implement a state exchange because it would be too expensive for their respective states. Oklahoma and Texas will not implement a State Exchange. You can go to the Federal Exchange if you happen to reside in a state that doesn’t have an exchange. Here’s the other problem. Congressed screwed up and didn’t fund the federal exchange because they assumed that every state was going to create an exchange, but that didn’t happen. Oops! Now the Feds are trying to implement the Federal Exchange of its own which leads to problem number three. The exchange at both Federal and State levels are hard to implement because of the complexities of the healthcare and Law itself. Look at the chart for understanding. Exchanges have to be online by 1 0ctober because that’s when sign up begins. The exchanges are supposed to go into effect by 1 January 2014.
The cost of healthcare is going to be high. CNSNews.com reports:
The IRS’s assumption that the cheapest plan for a family will cost $20,000 per year is found in examples the IRS gives to help people understand how to calculate the penalty they will need to pay the government if they do not buy a mandated health plan. The examples point to families of four and families of five, both of which the IRS expects in its assumptions to pay a minimum of $20,000 per year for a bronze plan. “The annual national average bronze plan premium for a family of 5 (2 adults, 3 children) is $20,000,” the regulation says. Bronze will be the lowest tier health-insurance plan available under Obamacare–after Silver, Gold, and Platinum. Under the law, the penalty for not buying health insurance is supposed to be capped at either the annual average Bronze premium, 2.5 percent of taxable income, or $2,085.00 per family in 2016.
You may have been able maneuver past all of these obstacles and still kept your insurance (even while your rates doubled) but what you may not be able to avoid is a lack of doctors. Federal and State Governments are already predicting a shortage of doctors in the future. Federal officials are just hoping that when exchanges open, it won’t be a third-world experience.