Citing health overhaul, AARP hikes employee costs
AARP's endorsement helped secure passage of President Barack Obama's health care overhaul. Now the seniors' lobby is telling its employees their insurance costs will rise partly as a result of the law.In the real world, "more cost-efficient" means less coverage and more cost for the individual. I'm still puzzled why plans that have low premiums and co-pays are considered evil by the government. Yes, I know that the company picks up the difference, but why does 'improving' health care shift those costs to the individual? They damn sure aren't going away - some one has to pay them. I guess I'm just one of those voters who are too dumb to understand the benefits that obama and his cohorts are providing.
In an e-mail to employees, AARP says health care premiums will increase by 8 percent to 13 percent next year because of rapidly rising medical costs.
And AARP adds that it's changing copayments and deductibles to avoid a 40 percent tax on high-cost health plans that takes effect in 2018 under the law. Aerospace giant Boeing also has cited the tax in asking its workers to pay more. Shifting costs to employees lowers the value of a health care plan and acts like an escape hatch from the tax.
Although the tax on so-called "Cadillac" health care plans doesn't take effect for years, employers are already beginning to assess their potential exposure because it is hefty: at 40 percent of the value above $10,200 for individual coverage and $27,500 for a family plan. The tax is intended as a savings measure, to prod employers and workers into more cost-efficient plans.
AARP warned its employees that more cost-shifting could be in store. "AARP intends to make similar changes, as necessary, in the future to avoid the (health plan) tax," said Hodges' e-mail.The Law of Unintended Consequences strikes again...
3 comments:
I don't know that I would call it the 'Law of Unintended Consequences'. More along the lines of 'I told you so'. Anyone with a brain saw this coming before Obamacare was approved. Remember those videos of contentious AARP hosted Obamacare promotion meetings? I wonder if any of those AARP employees have remorse for berating their members and pushing the legislation.
How about the "big-shots" of AARP got a nice fat pay-off from the Dimbocrats for their support and shoving this crap Obamacare down the senior's throats.
PS: I'm 68, so I guess that includes me?
Bunny -
I remember the early days of AARP. (No, I'm not that old. I recall my parents talking about it).
AARP initially was more like a co-op for seniors, instrumental in getting things like senior citizen discounts implemented. They also did some mild advocacy for senior-related issues, like protecting Social Security.
But over time they've evolved similar to unions, morphing from an organization that served a valid purpose to one that promotes its own self-interests and survival over the good of its members.
Post a Comment