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 July 2014
Sports:
That sports may always be occasions of human fraternity and growth.
Lay Missionaries: That the Holy Spirit may support the work of the laity who proclaim the Gospel in the poorest countries.



Comments


More Politics & Policy

In President Obama's war on religious freedom the people suffer another loss Watch

Image of A July 21 executive order has dealt a huge blow to the cause of freedom of religion in the United States.

By Catholic Online (NEWS CONSORTIUM)

President Barack Obama's July 21 executive order prohibiting discrimination based on sexual-self-identification has lead to strong criticism from several prominent U.S. bishops, calling the executive order "unprecedented and extreme." LOS ANGELES, CA (Catholic ... continue reading


Efforts against female genital mutilation could be thwarted by population growth Watch

Image of Due partly to community activism and legislation, the prevalence of FGM, which involves the cutting away of the external female genitalia, and the marriage of girls under the age of 18 has decreased slightly over the last 30 years, UNICEF said.

By Lisa Anderson, Thomson Reuters Foundation

Advances in fighting female genital mutilation, or FGM and child marriage could be offset by population growth unless the rate of progress increases, according to new data released Tuesday by the United Nations Children's Fund (UNICEF). (Thomson Reuters ... continue reading


FREE SPEECH VIOLATED: Tea party groups' lawsuit against IRS proceeds Watch

Image of Among the individuals named in the lawsuit is Lois Lerner, who headed the division that processes applications for tax-exempt status at that time.

By Catholic Online (NEWS CONSORTIUM)

They're not going to take it - and they're taking their claims to court. A federal judge has allowed a lawsuit by 10 tea party groups to move forward against the Internal Revenue Service. The judge rejected a request by the federal government to dismiss all the ... continue reading


'Suing the president is the right path to go down here,' Boehner declares Watch

Image of

By Catholic Online (NEWS CONSORTIUM)

The House of Representatives has no plans to use its own constitutional authority to withhold funding from actions by President Obama. House Speaker John Boehner (R-Ohio) indicated that if the president takes actions that exceed his constitutional authority, ... continue reading


Federal government says state death penalties are 'unconstitutional' Watch

Image of A federal judge has called California's death penalty unconstitutional. Surprisingly though, this judge is a conservative republican, a party that has long opposed federal overreach into state rights.

By Catholic Online (NEWS CONSORTIUM)

A federal judge ruled that California's death penalty is unconstitutional on July 16, claiming that the state's system is arbitrary, unfair, and cruel and unusual because of a lengthy process that leaves prisoners in the dark about their actual death row status. ... continue reading


'American people have a right to know,' Issa proclaims Watch

Image of Darrel Issa says that Simas' testimony was

By Catholic Online (NEWS CONSORTIUM)

Oversight Committee Chairman Darrell Issa of California said administration claims that White House political director David Simas was immune from testimony were "absurd" and "deeply disturbing." Defying a subpoena, Issa has now set up a new high-profile fight ... continue reading


Cheat on your taxes? It just got a lot easier Watch

Image of If you still fear a knock at your door anytime soon, it must be noted that one's chances of getting audited vary greatly and are based on income.

By Catholic Online (NEWS CONSORTIUM)

If you cheat on your taxes - or senselessly worry that some indiscretion in your recent past will have the Internal Revenue Service shortly breathing down your neck - things just got a little bit brighter. The GOP-controlled House has voted to slash the budget ... continue reading


While federal tax revenues are at an all-time high - federal government still running a deficit Watch

Image of What's the old saying?

By Catholic Online (NEWS CONSORTIUM)

While federal tax revenues continue to run at a record pace in fiscal 2014, their still no way out of the forest yet. The federal government's total receipts for the fiscal year closed last month at an unprecedented $2,258,565,000,000, according to the Monthly ... continue reading


President Obama accused of being insufficiently engaged in border crisis Watch

Image of President Obama wishes to make clear to parents and adults in Central America that there is no payoff for sending their children on the dangerous journey northward.

By Catholic Online (NEWS CONSORTIUM)

With hundreds, if not thousands of unaccompanied children streaming across the United States' southwest border with Texas - and more on the way - America's border security and policies may be in transition. Republicans and some Democrats have since accused U.S. ... continue reading


Put the spotlight - ON ME: Obama uses first person singular 99 TIMES in speech Watch

Image of In President Obama's recent speech, he used a first person singular, on average, every 12 seconds.

By Catholic Online (NEWS CONSORTIUM)

"I," "Me," sand "My" were words used by U.S. President Barack Obama in a speech vowing unilateral action. In fact, Obama used the first person singular a whopping 199 times. This figure did not account for instances when he quoted a letter from a citizen or ... 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, Jeremiah 2:1-3, 7-8, 12-13
1 The word of Yahweh came to me, saying,2 ... Read More

Psalm, Psalms 36:6-7, 8-9, 10-11
6 your saving justice is like towering mountains, ... Read More

Gospel, Matthew 13:10-17
10 Then the disciples went up to him and asked, 'Why ... Read More

Saint of the Day

Saint of the Day for July 24th, 2014 Image

St. John Boste
July 24: One of the Forty Martyrs of England and Wales. He was born at ... 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