Skip to content
Catholic Online Logo

By Catholic Online (NEWS CONSORTIUM)

4/4/2013 (1 year ago)

Catholic Online (www.catholic.org)

Provision for small businesses to provide insurance delayed for a year

Parts of ObamaCare are beginning to fall away, even before full implementation. The Obama administration is currently saying that a special system of exchanges designed to make it easier for small businesses to provide insurance will be delayed now until 2015.

Insurance is far more expensive for small businesses. Many have no obligation under current U.S. law to provide coverage. Analysts now fear many might just stop trying and let workers go on the soon-to-be-launched state exchanges.

Insurance is far more expensive for small businesses. Many have no obligation under current U.S. law to provide coverage. Analysts now fear many might just stop trying and let workers go on the soon-to-be-launched state exchanges.

Highlights

By Catholic Online (NEWS CONSORTIUM)

Catholic Online (www.catholic.org)

4/4/2013 (1 year ago)

Published in Politics & Policy

Keywords: ObamaCare, medical devices, small businesses, medical insurance


LOS ANGELES, CA (Catholic Online) - "Lots of small businesses struggle with providing insurance for their workers so this was supposed to facilitate it and make it easier for small business to do this," Jim Capretta of the Ethics and Public Policy Center says.

"It was a huge portion of the sale job. When they passed the law in 2010 there were many senators and members of Congress who were saying 'I am doing this because it's going to help small businesses.'" Capretta added that the administration is "way" behind schedule. 

The exchanges were originally meant to give workers a range of choices supported from their employers. At the present, they will now have only one choice until 2015, meaning they can't shop for insurance that includes their current providers.

Insurance is far more expensive for small businesses. Many have no obligation under current U.S. law to provide coverage. Analysts now fear many might just stop trying and let workers go on the soon-to-be-launched state exchanges.

"Even if it's just a small change of people who are leaving the employment-based insurance and coming into the individual insurance market, their costs and their numbers will overwhelm those who are currently uninsured," Sara Teppema of the Society of Actuaries, following an exhaustive study of ObamaCare, said. Essentially, costs will increase.

In the meantime, 79 senators, including several liberal lawmakers recently voted to repeal a new tax on medical devices contained in the health care law following a similar vote in the House.

"The House and the Senate agreeing? This is a harmonic convergence, it doesn't happen," former Democratic Sen. Evan Bayh said. "But on this it's happened because the adverse consequences to our economy and the quality of health care are so apparent."

Critics say that a 2.3 percent sales tax on medical devices is unfair to the industry since it's a tax on gross sales, meaning it adds up to a much bigger percentage of a company's profits.

"I think that repealing the device tax would be irresponsible. We need the revenue and it's not going to be a job killer," Paul Van de Water of the Center for American Progress says, who opposes any repeal.

ObamaCare ostensibly would insure 30 million more people. As a result, device makers, like pharmaceutical companies, would get lots of new customers and a steady stream of new revenue to make up for the tax. Van de Water predicted that would still happen.

"These device manufacturers are for the most part going to be getting a large increase in business thanks to health reform, thanks to ObamaCare," he said. 

That's not necessarily true for the 7,000 small companies with 400,000 employees who make a wide range of devices.

"We make widgets -- hips, knees, stents, pacemakers, and implants, even, for prostate cancer. Those widgets tend to be used by people that are elderly. As the body parts wear out, we're needed," CEO of Theragenics Christine Jacobs says 

Jacobs notes that most people whose body parts wear out are already on Medicare, so ObamaCare does not provide a new revenue stream for her company -- only financial pain.

"In the case of a small company, that medical device tax is equal to our R-and-D budget for this year," Jacobs said.

---


Pope Francis: end world hunger through 'Prayer and Action'


2014 - Distributed by THE NEWS CONSORTIUM

Pope Francis Prayer Intentions for January 2015
General Intention:
That those from diverse religious traditions and all people of good will may work together for peace.
Missionary Intention: That in this year dedicated to consecrated life, religious men and women may rediscover the joy of following Christ and strive to serve the poor with zeal.



Comments


More Politics & Policy

Keith A Fournier: Why I Will Not Give Up On Politics Watch

Image of

By Keith A Fournier

Like many in the United States, I am trying to make sense out of what is happening to this Nation which we love. The temptation, so clearly present in our circles, is to fall into two separate approaches, both of which can lead to error. One is to completely ... continue reading


TIME TO PAY: Uninsured in 2014 will have to pay tax penalty Watch

Image of Take a married couple with $100,000 in income - their bill comes to $797, according to the Tax Policy Center ACA penalty calculator.

By Catholic Online (NEWS CONSORTIUM)

It is time to pay the piper. If you disregarded signing up for Obamacare in 2014 or failed to make payments - you are going to have to pay a fine. As Americans sit down in coming weeks to compile their tax returns, they will have to contend with Obamacare's ... continue reading


'You have to know who your enemy is' Downplaying and mislabling Islamic extremism is a dangerous path for the U.S. Watch

Image of Islamic extremism is terrorism, it is not simply criminal conduct.

By Abigail James (NEWS CONSORTIUM)

The Obama administration refuses to acknowledge the terrorism attacks around the world for what it is, Islamic extremism. This blatant disregard of the real problem can be harmful for the country. LOS ANGELES, CA (Catholic Online) - Secretary of State, John Kerry was ... continue reading


Striking back at the Dems! Koch brothers allocate nearly ONE BILLION DOLLARS for 2016 presidential race Watch

Image of David Koch, one of the leaders of a political action network that has the monetary power to spend hundreds of millions on political races.

By Matt Waterson (NEWS CONSORTIUM)

It seems the Koch brothers have no plans to ease their political spending habits in 2015, as top officials in the brothers' political network released a budget of $889 million to be spent on the vast political network ahead of the 2016 presidential race. LOS ... continue reading


Turning off spigot: Obama aims to possessively guard oil-rich Alaskan coastline from development Watch

Image of Alaska's coastal plain has been at the center of a fight between conservationists and advocates of greater energy exploration in the U.S. for a very long time.

By Catholic Online (NEWS CONSORTIUM)

Just because there's been relief at the corner gas pump doesn't mean that the United States won't need any more oil in the near future - far from it. As such, many are infuriated that U.S. President Barack Obama seeks to designate the vast majority of Alaska's ... continue reading


And the field gets thicker! Rubio joins Bush, Romney, Walker and Christie as 2016 presidential hopeful Watch

Image of Marco Rubio, a Senator from Florida may be crafting a campaign team for a potential 2016 bid.

By Matt Waterson (NEWS CONSORTIUM)

A fifth Republican is making noise that could be interpreted as intent to make a 2016 presidential run. LOS ANGELES, CA (Catholic Online) - Florida Senator Marco Rubio is possibly gathering a campaign team, planning out a slew of state visits starting in February, and ... continue reading


Scott Walker enters the 2016 Republican nomination ring with speech attacking Obama's failed policies Watch

Image of Wisconsin Governor Scott Walker gave a speech in Iowa, a move which may put him in the running for the Republican nomination.

By Matt Waterson (NEWS CONSORTIUM)

Former Florida Governor Jeb Bush, New Jersey Governor Chris Christie and former Massachusetts Governor Mitt Romney may have been the first Republicans to make it clear-though still unofficial-that they intend to run for the Republican nomination in 2016, but ... continue reading


Jeb Bush, Mitt Romney hold summit meeting: Are they plotting election strategy? Watch

Image of There have been stories in a number of outlets that Jeb Bush proposed the meeting weeks ago, in order to thank Mitt Romney for his past party leadership.

By Catholic Online (NEWS CONSORTIUM)

Former governors Jeb Bush and Mitt Romney are having a summit meeting. The meeting will be in Utah. Speculation swirls about what the meeting will entail. Some GOP party officials hope "the two former governors will find a way to avoid competing presidential campaigns ... continue reading


An average of 27 late-term abortions happen every day in the United States; the bill to protect the unborn from this cruel pain was dramatically dropped by the GOP Watch

Image of 10,000 babies are killed each year through late-term abortions.

By Abigail James (NEWS CONSORTIUM)

An estimated 10,000 unborn babies are killed each year through late-term abortions. This averages out to 27.4 abortions taking place 20 weeks or later per day or 1.14 per hour, according to the Congressional Budget Office. LOS ANGELES, CA (Catholic Online) - The Pain ... continue reading


Father Frank Pavone on Pope Francis, Politics, and Catholic Social teaching Watch

Image of Fr Frank Pavone - Fidelity to the Gospel requires that we be able to prophetically challenge the positions of all political parties, and that our loyalty to Christ and his teaching supersedes our loyalty to any political party, although such loyalties are not per se incompatible with being a Christian.

By Matt C. Abbott

It remains true that the right to life is the most fundamental right and that the duty to defend it is a more urgent priority than other social justice priorities. But to what extent that fact helps or hurts a political party depends upon the party, and his ... continue reading


All Politics & Policy News

Newsletters

Newsletter Sign Up icon

Stay up to date with the latest news, information, and special offers

Daily Readings

Reading 1, Hebrews 11:1-2, 8-19
1 Only faith can guarantee the blessings that we hope ... Read More

Psalm, Luke 1:69-70, 71-72, 73-75
69 and he has established for us a saving power in ... Read More

Gospel, Mark 4:35-41
35 With the coming of evening that same day, he said ... Read More

Saint of the Day

Saint of the Day for January 31st, 2015 Image

St. John Bosco
January 31: What do dreams have to with prayer? Aren't they just random ... Read More

Inform, Inspire & Ignite Logo

Find Catholic Online on Facebook and get updates right in your live feed.

Become a fan of Catholic Online on Facebook


Follow Catholic Online on Twitter and get News and Product updates.

Follow us on Twitter