Small businesses pay higher premiums for buying coverage on health insurance exchanges because employers subsidized too many unhealthy individuals, research on employer-sponsored health plans in Massachusetts shows.
The math on employer-sponsored insurance in MA. Source: PwC
Seven years ago, Massachusetts passed a law that what would become the blueprint for the federal Patient Protection and Affordable Care Act. Now a study of employer-sponsored health plans in Massachusetts offers insight for the nation's workforce wondering what the future holds post-PPACA.
PwC's Health Research Institute has issued the first of two reports examining how businesses and workers have fared since the Bay state passed its universal coverage law.
This is neither the first nor the last study examining the sweeping healthcare reform in Massachusetts. The Kaiser Family Foundation issued a six-year report card in 2012 showing that the state's uninsured rate decreased while access to healthcare increased. This is what PPACA is supposed to do, too.
The President's re-election dampened the argument over why the nation needed PPACA, but how the country reaches the goal is still being debated by groups, such as the Association of Health Insurance Plans and most recently the Retail Industry Leaders Association. RILA represents the nation's biggest names in retail (and in some towns, employers): Walmart, Target, Dollar General, Walgreens, and others. The list reads like a yearbook of strip mall, big box, and retail corner tenants.