
The Debate Over Health Insurance Policy Penalty
As healthcare exchange implementation nears, there are questions as to whether or not small businesses will take the penalty for declining insurance for their employees. In some cases, the price for penalty per employee would be less than insuring them. The New York Times Reports:
Often when the government wants you to do something, it makes you pay if you don’t. That would seem to be the case with Obamacare, which penalizes companies for not providing health care. But in that penalty, there could be a paradoxical result: dropping health coverage could save companies a lot of money.
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Yet there may be costs in employee satisfaction, especially if companies don’t raise pay enough to keep workers whole when they buy insurance on the exchanges.
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