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Healthcare Costs – Is It Going to Get Better? 

 July 6, 2013

By  Dr. Tripp Stover, D.C.

line graph freeMechanicsville Virginia Chiropractor – Seldom do I get political (maybe never) on this blog. Hopefully this will not really be a violation! But as a healthcare provider who excepts assignment for most plans and Medicare it is important to me when insurance landscape changes.  As a private buyer of my own health insurance I’m painfully aware of how expensive it is to buy.  As a business owner I’m even more aware of how expensive it is because I do not have the help of an employer who is kind enough to defray much of the premium costs for my family.  Therefore, I’m very interested in the upcoming initiation of the Affordable Care Act if it will fulfill any of the promises its supporters said it would make.  Most notably to me: lower healthcare costs and a help to the economy.

I do believe healthcare costs are absurdly high and something needs to be done. Although chiropractic is a speck on the heap of healthcare spending (and has only risen a mere percentage over the years relative to medical care) it will be affected and patients will suffer due to increased costs.  Just the opposite of the promises.

Here’s an extended quote that points to some of the reasons our costs will go up.  It is a piece I got from The Enterprise Blog which Mark J. Perry wrote on July 3rd, 2013 for AEIdeas.org – Freedom. Opportunity. Enterprise.

ObamaCare Unravels:

Scott Grannis explains why he is now convinced more than ever that the defects of Obamacare are so “massive and pervasive” that the “Unaffordable Care Act” may never actually “see the light of day”:

The Obama administration is now going to delay enforcing the penalty ($2,000 per employee) on businesses with 50 or more employees that fail to provide them with healthcare insurance. This will presumably give businesses time to adjust, but it also conveniently postpones a key and controversial portion of the law until after the 2014 elections.

This delay shows that there were even more fatal flaws to Obamacare than I thought. How could I—or any congressional staffer writing the original law, for that matter—have failed to realize that exempting businesses with fewer than 50 full-time employees from the penalty, but imposing the full penalty (which would start at $100,000 per year) on any business that goes from 49 to 50 employees, would do anything but create havoc among small businesses, the biggest source of new job creation? For small businesses that currently do not offer health insurance, the effective cost of adding a 50th employee would be not only that employee’s benefit package, but also $100,000 in annual penalties, or the cost of providing health insurance to everyone, which could be upwards of $6,000 per employee, or $300,000 for a business with 50 employees. Not many businesses are profitable enough to survive that, no matter how much time they have to “adjust.” This is a huge anti-business and anti-jobs defect in the law.

Delaying this penalty on small businesses that want to grow is not going to fix the problem. Small businesses will continue to eye the magic “50,” keeping employee counts low, postponing expansion plans, and relying as much as possible on temporary or part-time employees. Many employers may simply decide to downsize. This is not good for business and it is not good for new job formation. It creates a huge “wedge” between the cost of hiring additional workers and their marginal contribution to the business. It also interferes with individuals’ right to contract freely.

This is not the first delay in the implementation of Obamacare, and it is likely not the last. The fact that some 30 states have not set up health insurance exchanges may well precipitate yet another delay which could expand to the entire program, not just the employer mandate. A few more such delays and Congress may finally realize that Obamacare is bad public policy and that the only solution is to repeal it and rely instead of market-oriented reforms to healthcare. With one simple change to the tax code—for example, allowing everyone, not just employers, to deduct health insurance costs—Congress could make a huge difference that would end up being a positive for everyone.

I’m always looking for the silver lining to clouds such as Obamacare, and so I welcome today’s news. The more time passes, the more fatal flaws we are likely to discover in Obamacare, and the greater its chances of further delays, and eventually its repeal.

Hopefully this was helpful.  Maybe and eyeopener.  Most of all I hope we get a solution to increasing healthcare costs.

Dr. Tripp Stover20130311-200124.jpg

Stover Chiropractic, P.C. –  Real. Simple. Healthcare.

stoverchiropractic.com

 

Location:

We are located at 9097 Atlee Station Road in Mechanicsville, Virginia, 23111.  This is a Hanover county address, but we are minutes from Glenn Allen, Innsbrook, Sandston, and Varina.  We also serve many people from King William and New Kent Counties.  Our close proximity to I295 means we are very easy to reach from anywhere in the Richmond Metro area.  Contact us: 804-559-1100

Dr. Tripp Stover, D.C.


Dr. Stover grew up in Richmond. He has been married to his wife Andrea since 2000 and they make their home in Mechanicsville with their children, Avery and Garnett.

Dr. Tripp Stover, D.C.

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