The Public Option and What It Might Mean for Business

By July 13, 2009Health Care

Lawyer, law professor and talk show host Hugh Hewitt tells you what business will have to consider if Congressional health care legislation (it’s not necessarily “reform”) includes a public option. From, “What will your employer choose for you?,” published in today’s D.C. Examiner:

Some of my law firm’s clients and some executives in my broadcast audience are quietly preparing for the necessary analysis that will follow the passage of Obamacare by asking their personnel departments the obvious question: Will it make economic sense to discontinue health care coverage for my employees and instead push them into the government plan?

These employers –manufacturers, builders, entrepeneuers of all sorts– cannot yet get an answer to this question because they don’t have any specifics about costs from which they can make an informed decision.

But they all know they will have to “do the math” if the “government option/public plan” makes it into law. They cannot not do so for they owe shareholders and investors an objective assessment of what will improve their bottom lines.

There are indeed U.S.-based manufacturers, smaller and medium-sized ones mostly, who like the idea of single-payer health care because it would lift a heavy burden from their companies. When your company’s costs for providing employee health care rise in double digits every year you’re willing to grab anything as a lifeline, even if it comes in the form of an inefficient, low-quality government-run system.

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