Small Business Impact of the Affordable Care Act
As many of you are aware, the Supreme Court ruled to uphold the provisions outlined in the Affordable Care Act. This Act impacts businesses on many different levels. Parts of the Act include (from www.whitehouse.gov):
- Most of the provisions become effective January 1, 2014
- Some exemptions for religious groups (those historically exempt from the Social Security system)
- Even smaller businesses with 50 or less employees are impacted
- There will be fines assessed for some employers who do not offer insurance
- If the cost to the employee is greater than 9.5% of their income and they earn between 300% and 400% of the poverty level, employees will be eligible for subsidies and this could impact the business (note: this could impact single employees with an annual salary of $44,680, $60,520 for a couple and $92,200 for a family of four.
- Insurance companies no longer have unchecked power to cancel a policy, deny coverage, or charge women more than men
- No one can be denied care or charged more due to a pre-existing condition, like cancer or even asthma
- Preventive care will still be covered free of charge by insurance companies–including mammograms for women and wellness visits for seniors
- Millions of Americans will receive a rebate because their insurance company spent too much of their premium on administrative costs or CEO bonuses
- 6.6 million young adults will still be able to stay on their family’s plan until they’re 26
- Tax credits for small businesses and non-profits
- Financial assistance for businesses that provide health insurance to retirees ages 55 to 64
It is important that businesses be prepared for these changes and understand the impact on the employees and employee’s families – not to mention potential fines and penalties.
The Lancaster County Business Group on Health (an affiliate of the Lancaster Chamber) is hosting a seminar on Friday, July 13, 2012 – “What the Supreme Court’s Decision on Health Care Reform Means to Your Business”. The seminar will be held from 7:30am-10am at the City Council Chambers – Southern Market Center, 100 S. Queen Street, Lancaster.
To register to attend this seminar – you can click here: http://www.lcbgh.org/calendar.htm