Who Do You Want to be President When You Get Sick?
By PA Staff Writers
As many as 27 million American workers can expect to lose their employment-sponsored health care benefits if John McCain's health care proposals become law, a new report by the Economic Policy Institute's Policy Center showed this week.
The main element of McCain's health plan that would cause this dramatic loss of health care benefits is a proposal to eliminate the tax incentive employers get for providing health insurance to their employees. In fact, McCain would impose taxes on health care benefits, which will cause employers to be less likely to offer them and force workers and their families to seek benefits alone in the insurance market.
According to the report, "A large share of those losing employer coverage will have no choice (absent being uninsured) other than to seek coverage in the individual market." Because larger risk pools, such as those created in the employment-sponsored system, would no longer exist, premiums are likely to be higher, along with higher out-of-pocket expenses and deductibles. In such a system, the report suggests, individuals in the private insurance market are less likely to be able to afford the same coverage they would get in an employment-based plan.
"This part of the McCain proposal makes it more expensive for employers to provide health coverage to their employees, so we will see more of them dropping this benefit," explained Elise Gould, one of the authors of the report. "Many employees and their families will be forced into the individual market, where high-quality plans are harder to obtain, especially for those who are not young and healthy."
Since 2000, the employment-based health care system has shrunk by more than five percent, according to the report. In its state-by-state analysis, the EPI report estimates that New York would see about 1.6 million people kicked of the employment-sponsored insurance rolls. California, as many as 2.4 million.
http://www.politicalaffairs.net/article/articleview/7474/