The Trump Administration released rules that would make it easier for #SmallBusiness and Sole Proprietors to purchase insurance as a group, instead of being forced to go to the Individual Health Insurance Market, or the Covered CA. By setting up an Association Health Plan, professionals in certain industries would be able to ban together to purchase insurance as a group, with the idea that the costs would potentially be lower, and also making the coverage a business deduction.
Opponents say Association Plans are just a way to avoid the ACA
Depending on who you talk to, people that disagree with Association Health Plans, feel that its yet another attempt at dismantling the #ACA. Association Health Plans COULD be set up, without all of the mandatory coverages that all the #ObamaCare plans currently have. Coverages like maternity may or may not be written into the Association Health Plans. Most Democrats are strongly opposed to anything that steers away from the ACA or ObamaCare type coverage.
Proponents want choice, and potentially lower pricing
Most people that are in favor of Association Health Plans want two things….cheaper pricing, and choice. Many people feel that they should not HAVE to purchase insurance with coverage they don’t want or need. When this issue is brought up with me, among Small Group Employers, most of them tell me “If someone wants that type of coverage, then THEY should have to pay for it”. Being forced to purchase something, just feels wrong, they tell me.
Previous problems with Association Plans
Back in the early 2000’s, there were some Association Health Plans that were riddled with fraud and ended up leaving, according to some estimates, nearly 200,000 people with unpaid medical bills. If we WERE to bring back Association Health Plans, there would have to be some sort of oversight, so insurance companies, and the government, would not be left holding that bag, if things went south.
No easy answers on any of this stuff. According to some new estimates though, #HealthInsurance pricing is due to actually fall a bit in 2019. Uh huh….we’ll see about that!
Steve Brauer-Principal, Brauer Insurance Services, (877) 421-4325, www.brauerinsurance.com