How Will Obamacare Rate Spikes Impact New York Small Business Owners?

Date: November 01, 2016

While the rest of the country undergoes an on average 22 percent premium increase, New York’s rates fall a little below that—still small business owners are rightfully mad.

How will Obamacare Rate Spikes Impact New York Small Business Owners?

Obamacare rates are set to rise
an average of 22 percent in 2017, according to NPR. But federal subsidies are also expected to
rise, “meaning that few people are likely to have to pay the full cost after
the rate increases to get insurance coverage.”

 According to the government, more
than 70 percent of people buying insurance on the ACA’s marketplaces could get
a health plan for less than $75 a month for 2017.

 However, there are fewer options
available for people. Aetna, UnitedHealth Group, and Humana have pulled
back from offering coverage in markets across the United States. This means,
“about 1 in 5 people buying insurance through the marketplace will have only
one company offering coverage.”

This increase will continue to
hurt small businesses.

 “The rising cost of health
insurance has been the biggest problem confronting their businesses for
decades, and the Affordable Care Act exacerbated the cost problem,” NFIB
Director of Federal Public Policy Kevin Kuhlman told FOX Business. “Premium increases of this
magnitude aren’t sustainable for small business owners and employees, and
rising costs are a major drag on job creation and economic growth.” 

Currently, private job and
business creation runs below pre-2005/2006 recession levels, according to FOX Business.
Although 1 million jobs were created during fourth quarter of 2015, “That’s the
difference between 7.8 million jobs added versus 6.8 million that were cut.”

Related Content: News | Economy | Healthcare | Labor | New York

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