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AP: Boeing Employees To See Increased Premiums Thanks To Obamacare | Missouri Political News Service

AP: Boeing Employees To See Increased Premiums Thanks To Obamacare

October 19th, 2010 by MarkTwain · No Comments

Since President Obama and the Democrat-run Congress celebrated passing their massive health care law over the objections of a majority of Americans, news reports have come on an almost weekly basis demonstrating how their legislation has not and will not live up to the promises made about it during the initial sales pitch. President Obama and Democrats said many times that their health care bill would “reduce the costs of health care” and that “[f]amilies will save on their premiums.” Just a month ago, Obama reiterated, “All this is going to lower premiums. It’s going to make healthcare more affordable.”

But last night the AP reported, “Aerospace giant Boeing is joining the list of companies that say the new health care law could have a potential downside for their workers. In a letter mailed to employees late last week, the company cited the overhaul as part of the reason it is asking some 90,000 nonunion workers to pay significantly more for their health plan next year. A copy of the letter was obtained Monday by The Associated Press.

“‘The newly enacted health care reform legislation, while intended to expand access to care for millions of uninsured Americans, is also adding cost pressure as requirements of the new law are phased in over the next several years,’ wrote Rick Stephens, Boeing’s senior vice president for human resources.”

According to the AP, “Spokeswoman Karen Forte said the Boeing plan is more generous than what its closest competitors offer, and the company was concerned it would get hit with a new tax under the law. The tax on so-called ‘Cadillac’ health plans doesn’t take effect until 2018, but employers are already beginning to assess their exposure because it is hefty: at 40 percent of the value above $10,200 for individual coverage and $27,500 for a family plan.”

The Wall Street Journal adds today, “In recent weeks, other major corporations have cited the new health-care law as a condition for needing to raise employee health care costs—or threaten to cut it altogether. Last month McDonald’s Corp. told the federal government that it could possibly drop health-care coverage for more than 30,000 restaurant workers unless the government granted it a waiver, excepting it from at least one provision of the new law. . . . Earlier this month, 3M Co. said it would start phasing out health-care benefits to retirees, citing the new federal health-care law as a factor.”

But it’s not just employer plans feeling the consequences of Democrats’ health care law. In recent weeks, there has been a string of reports of insurance companies warning of premium increases for individual and other plans thanks to the health care legislation. According to The Wall Street Journal, “Health insurers say they plan to raise premiums for some Americans as a direct result of the health overhaul in coming weeks, complicating Democrats’ efforts to trumpet their signature achievement before the midterm elections. Aetna Inc., some BlueCross BlueShield plans and other smaller carriers have asked for premium increases of between 1% and 9% to pay for extra benefits required under the law, according to filings with state regulators.” Similar warnings came recently from insurers in Washington State, New York, and Connecticut.

Throughout the health care debate Republicans and independent analysts warned that the Democrat health care bill would raise premiums instead of lowering them. All the way back in December of 2009, a majority of Americans understood that the Democrats’ plan would “raise their cost of health care.” But Democrats passed their bill anyway and it remains unpopular. Even the poll traditionally most favorable to the health care bill, the Kaiser poll, finds this week, “While the public overall is divided in their opinion of the new reform law, likely voters – those who say they are registered to vote and ‘absolutely certain’ to turn out on Nov. 2 – are somewhat less positive, with negative appraisals outstripping positive ones 49 percent to 39 percent.”

As Sen. John Barrasso (R-WY), Vice Chairman of the Republican Conference, said in the Weekly Republican Address recently, “The President’s policies are irresponsible, and unsustainable. . . . I believe there is too much at stake, and far too much to lose, for us to allow bad policies and reckless spending to remain unchecked or unchallenged.  And so we will fight for a dramatic change in priority and direction. Republicans have a Pledge to America. A Pledge to prevent tax hikes, to reduce federal spending, and to work every day to repeal the massive new health care law and replace it with commonsense reforms that lower costs.” Americans will soon have the opportunity to choose whether they want more of this flawed health care law or repealing and replacing it.



Tags: Healthcare

0 responses so far ↓

  • 1 Former_Democrat // Oct 19, 2010 at 10:12 am

    Just got our plans for this year and the mdical cost increased, also. Thanks Democrats. See you Nov 2.

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