SUPREME COURT DECISION ON NATIONAL HEALTHCARE: Its Impact on Small Business and Insurance Industry
What impact will the Supreme Court’s decision on National Healthcare have on U.S. Small Business and the Insurance Industry?
Steve Beaman, a life-long entrepreneur and small business advocate has written about the impact of Affordable Care on the nation’s small business community and sees three options, two of which negatively affect small business.
Said Beaman, “As the Supreme Court wrestles with the Constitutionality of the Affordable Care Act, the small business community waits with baited breath to see exactly what will, or won’t, be imposed upon them. With small business being the acknowledged backbone of the American economy, it’s a wonder that any economically aware politician would support the Affordable Care Act.”
Option 1 : The Supreme Court upholds the entire law
Winner : Uninsured, Insurance Companies (more customers), Government
Losers: Privately Insured people, Small Business, Insurance Companies (more people forced into government exchanges)
Should the Supreme Court uphold the entire law, Insurance Companies will be forced to take people with pre-existing conditions, but to offset that, they will pick up millions of new insured customers due to the mandate that all American’s buy health insurance. As a result of the increased cost of covering pre-existing conditions, premiums will rise which will make it less possible for self-insured people or small business people to afford private health care insurance. Thus, they will be forced to go to the Federal Insurance Exchange and receive what is in effect, government insurance. Think of this as Medicare Lite.
Option 2: The Supreme Court throws out the entire law
Winners: Small Business, Privately Insured people, Insurance Companies (maintain status quo)
Losers: Uninsured, Government
Should the Supreme Court throw out the entire law, we go back to the status quo. With that said, most insurers have privately implemented some of the popular parts of the act including allowing children to stay on their parents policy until 26 years of age. The biggest issue with the entire plan however is the requirement that Insurance Companies cover those with pre-existing conditions and without the law, and the associated mandate, the Insurance Companies will are not able to cover pre-existing conditions without so significantly raising rates that they would lose many of their customers.
Option 3: The Supreme Court sustains part of the law, throws out some of it
Winners: Government, Uninsured
Losers: Privately Insured Americans, Insurance Companies, Small Business
Should the Supreme Court throw out only the mandate for all to buy insurance, but sustain the balance of the law as constitutional, the resulting costs placed on the insurance companies would force them to either significantly increase premiums which would dramatically affect small business & self-insured’s, or go bankrupt. This is akin to a “nuclear scenario” where there will be a comprehensive restructuring of our health care system rapidly, rather than slowly over time. Exemptions have already been given to large companies with political ties, and to businesses within districts of powerful Congressional leaders like Nancy Pelosi, whose district is exempt from ObamaCare.
ABOUT STEVE BEAMAN:
Steve Beaman is a self-taught, self-made millionaire and, presently, founder & chairman of The Steve Beaman Group (SBG), a personal development company working to help people along the five paths to a transformed life. He is the author of two published e-books, one print book to be published, a two-volume, 12 CD audio library, and more than 200 SBG-casts highlighting articles that have been published on each of the Five paths.
He has been the keynote speaker at numerous Chamber of Commerce events and industry conferences. He’s been a guest on televised financial programs and he hosts his own monthly radio program, Life Changes.
Prior to founding the Steve Beaman Group, Steve established DuPage Business Partners, a venture capital and private equity firm that used the capital he had accumulated through the sale of his prior company. Through DuPage Partners, he invested in several companies in various industries.
Beaman’s most public success was the co-founding, development and sale of Chicago Investment Analytics, the premier provider of independent research on Wall Street. In 2000, after a successful 10-year run, “CIA,” as it was known, was sold to Charles Schwab and became the foundation of what is now known as the Schwab Equity Rating. During his time there, Steve was called “the best in the business” by one of the largest money managers in the U.S.
Prior to founding CIA, Steve worked with Wharton Econometrics, Zacks Investment Research, and the E.F. Hutton Company. He is a licensed private pilot and a licensed scuba diver.
He studied political science and history at Purdue University and attends College Church in Wheaton, Illinois. He is the father of six children.
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