As we have been discussing, there doesn’t seem to be a solution in sight to replace the Affordable Care Act (ACA). This week, we saw another failed attempt replacing the ACA.

One thing we are learning is that the Health Insurance Tax, or HIT, works directly against the goal of lowering health care costs. A provision of the ACA, the HIT tax amounts to a sales tax on health insurance.

Adding $500 per employee to annual health insurance costs harms all businesses. Businesses already sometimes need $5,000 to insure just one employee’s family and in many cases over $100,000 extra per year to insure their workforce.

Asking a family without the option of employer-based coverage to pay up $500 more meant fewer could afford or pay for health insurance at all. Then tacking on a $245 surcharge on a Medicare Advantage plan for a senior or disabled person compounded the bad idea, especially when 37 percent of beneficiaries have less than $20,000 to live on.

Four hundred Republicans and Democrats came to the same conclusion when they passed a moratorium on the HIT tax for 2017. The great hope was for a permanent answer to the problem to emerge by now. As we all are well aware, no such agreement has been reached.

A HIT tax delay is a minimum condition for making any progress on health care. There is simply no way that small businesses can pay more for health insurance without it affecting wages, bonuses, job creation and economic expansion. Working families do not want to see jobs lost, and companies have a desire to keep growing and thriving.

Our businesses and consumers have watched and seen health care choices dwindled and competition shrink under the ACA. One after another, insurers left or threatened to leave health insurance exchanges nationwide.

With only weeks left before higher costs are locked in, we encourage you to get in touch with us to see how we can help. Every year, NARFA members have freedom of choice, no surprises when it comes to their networks and access, a strong prescription drug program, and much more. Since 1929, we have provided the right solutions to keep our members strong and growing.

For 2018, we are offering even more.

Contact us today. And take back control over your costs.



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