Healthcare Reform Increases Costs to Workers, Study

Updated July 13, 2010

If you work for a large company, your healthcare costs will likely increase and your coverage will decrease as a result of the new healthcare law, according to a new study.

Ninety-four percent of 661 companies surveyed by a human resources firm, Towers Watson, believe the healthcare reform law will increase costs. So, employees will pay the price. The firm surveyed companies in several sectors. The median company employs 5,600 workers.

This means 88 percent believe it will increase costs to workers.

Seventy-four percent will see their benefits and programs decreased. That likely means higher deductibles or co-payments.

“While many employers have not yet assessed the full impact that reform will have on their businesses, they do realize that the responsibility to hold costs down will fall primarily on their shoulders,” said Towers Watson North American Health and Group Benefits Leader Mark Maselli in a statement.

Ironically, 96 percent of the companies surveyed indicated that preventing increased costs was a priority.

Almost 75 percent anticipate paying for subsidized health coverage for their current employees. Forty-three percent, however, will cancel or reduce benefits to their retirees.

Well, unfortunately, such news is to be expected. There have been numerous warnings here about the law’s unconstitutional mandates.

From the Coach’s Corner, any further erosion of personal freedom and economic freedom is not to be tolerated. Don’t expect the law to stand. Small business is heading the opposition.

Here’s why: How Healthcare Law Would Affect Small Business