Small businesses fear new healthcare laws - KOTA Territory News

Small businesses fear new healthcare laws

Posted:

Starting in 2014, the new Affordable Care Act will require everyone to obtain health insurance.
 
But what does that mean for businesses large and small in KOTA territory?

"Our goal is to make sure this is the best job you've ever had," said Jeff Hoffman, owner of Black Hills Ammunition in Rapid City.
 
But there's one benefit missing at Black Hills Ammunition - at least for now.
 
"We don't offer health insurance. We give employees a good wage and leave it in their hands, they decide how they want to get their health care,"said Hoffman.
 
Soon, businesses with over 50 employees will face two options.

"You sign up or you pay a penalty," said Hoffman.
 
For Hoffman, that could mean $80,000 annually, just to start.
His employees say they don't believe they'll see much benefit.
 
"I think it will cost my employer money and me money by having him to provide health care. They'll cut back on raises and bonuses, so it will cost me money," said AJ Mese, a production supervisor.
 
Some small business owners, many who can receive a significant tax credit on their health care plans if they have under 25 employees, believe providing health care will attract better employees.
 
"Employees that can't afford coverage on their own will be able to get coverage they need, so it will benefit them in the long run," said Carl Bullock, a customer service representative.
 
Insurance experts say premiums could rise 2- 9% over the next three years but even they're unsure about how the system will operate.
 
"I don't know that there's anyone who's read all 2700 pages of the law and can explain concisely what it is. It concerns me that we'll find out and we won't like it," said Hoffman.

With roughly 30 million people being added to the private insurance sector, many experts say the increased access to medical services will create new jobs in the health care industry itself.

Insurance experts worry this may result in lower quality healthcare, especially for medicare recipients.

 

Powered by WorldNow

518 St. Joseph St.
Rapid City, SD 57701

Telephone: 605.342.2000
Fax: 605.342.7305

Couldn't find what you were looking for?
Powered by WorldNow
All content © Copyright 2000 - WorldNow and KOTA. All Rights Reserved. For more information on this site, please read our Privacy Policy and Terms of Service.