Commentary: How the liberal health care agenda undermines employer-based health coverage | Local

It’s a concern for several reasons. The majority of Americans have health insurance from the workplace, and employer-based health plans tend to provide patients with greater access to a wide range of healthcare providers and services.

Most Americans still get health insurance through employer-based planning, but the number of people doing so is declining. In 2000, two-thirds of non-elderly people were reported through their employers. By 2018, that number had dropped to 58%. Decreased employer-based coverage was most common among those earning less than four times the federal poverty level ($ 51,520 in 2021).

Government policy has played an important role, although several factors have contributed to this trend. The left-wing bid to cripple the private health insurance market has made great strides in the passage of Obamacare. In particular, the Affordable Care Act has introduced middle-class subsidies for government-run health care. Between 2014 and 2016, when the law was fully enforced, employer-based coverage fell by 3.6 million.

The Build Back Better proposal would have changed the health insurance situation once again. It would have created a new government-run health program, made existing Obamacare subsidies more generous, and extended them to more people, regardless of income. He also proposed relaxing the requirements for eligibility for subsidies to those who have access to employer-based coverage.

These and other changes will move more people out of existing coverage and move towards government-run plans. The Office of Management and Budget estimates that the policies built into the Build Back Better plan will reduce the number of people with employer-based coverage by 2.8 million.

And that’s a problem.

Employer-based health insurance usually allows more healthcare providers to choose and access more healthcare services than government insurance. According to a 2021 Kaiser Family Foundation survey, “67% of eligible workers in health insurance companies work in companies that offer one or more PPOs.” In contrast. Last year, only 15% of Obamacare plans offered PPO (down from 57% in 2014), according to a Heritage Foundation report.

Work-based coverage is also a place to test innovative strategies for providing health care, improving results, and managing costs.

For example, employer coverage has triggered an increase in medical savings accounts. According to a recent employer survey, enrollment in HSA-style plans that combine a highly deductible insurance plan with a savings account mechanism increased from 3% in 2006 to 40% in 2021.

Employers have also launched initiatives to promote health and increase access to care. Today, 59% of all employer-based plans include wellness programs such as smoking cessation, weight loss, and other lifestyle and behavioral guidance. Many are continuing and expanding ways to improve workers’ access to care. According to a recent survey of large employers, 76% of employers plan to maintain the benefits of telemedicine during COVID. More than half are considering adding an on-site clinic.

There are also increasing new initiatives focused on price transparency and value-based purchases.

These favorable developments do not mean that employer-based compensation is okay. Unlimited tax-exempt benefits contribute to higher premiums and costs. Its design benefits disproportionately to high-paying employees who have heavy tax obligations. In addition, connecting medical insurance to the workplace denies personal ownership, limits the portability of insurance, cannot easily adapt to the changing labor market, and completely excludes many.

These shortcomings can be overcome by modernizing employer-based coverage through consumer-centric reforms. And it’s a much smarter course than the left-wing government-based approach.

Build Back Better was just the tip of the left-wing willingness to undermine the private health insurance market and get everyone involved in government-run health programs. Broader efforts such as “Medicare for All” and so-called “Public Options” will ultimately eliminate employer-based compensation, as we know it.

The private employer-based market is where the majority of Americans receive medical care and is the strongest barrier to full-fledged government-run medical care.