The incoming Trump administration and Republican control of Congress is causing waves in the small business community, as we see entrepreneurs concerned over a potential Obamacare repeal.
Entrepreneurs and Obamacare
Because Obamacare made it easier for people to buy insurance on their own, allowing some aspiring entrepreneurs to pursue their ventures. The legislation forbade insurers from declining coverage over pre-existing conditions, allowing people who were previously uninsurable to buy affordable insurance. Additionally, generous subsidies allowed those who previously couldn’t afford health insurance to buy a plan on the exchange.
CNN interviewed several entrepreneurs who feel that Obamacare is largely the reason they’ve enjoyed success as small business owners. They all share the same fear: repealing Obama’s signature legislative achievement will force them to abandon their entrepreneurial ventures.
From CNN Money:
Donald Trump’s election may mean the end of the computer repair shop Jefferson Roberts opened eight years ago in Smyrna, Tennessee.
Roberts is diabetic and can’t risk being uninsured. A month of insulin costs $1,100.
Knowing Obama planned to reform health care, he left his job. Rejected by insurers on the individual market, he was “lucky” to get into his state’s high-risk pool for those with pre-existing conditions.
When the exchange opened in 2014, he signed up for “even better insurance at a much more reasonable price, with subsidies. Finally, I was able to rest easy, knowing that I had good coverage.”
The other side of the coin
Let’s face it, Obamacare has a lot of problems and needs a bipartisan fix. Some of the problems that stand out in the controversy over the law’s repeal are the runaway premium increases. Ironically, the Affordable Care Act, the true name of what’s commonly known as Obamacare, is increasingly unaffordable for many of its enrollees. There are flaws in the design and implementation of the healthcare reform law that are driving costs through the roof, which is solidifying calls for changes to the existing setup.
Our healthcare system is a frightening mess, but it’s not all Obamacare’s fault. As we covered previously, today’s healthcare system in America is a frankenstein-like accumulation of haphazard policy decisions made over generations.
Repealing and replacing Obamacare is a political minefield for Trump and his fellow Republicans, who have been promising to get rid of it. Now that he’s packing for the White House, Trump has decided to embrace some of the successes of Obamacare.
How Trump will figure out how to reign in the cost of health insurance, while keeping enrollees’ popular provisions without infuriating insurers, namely the ban on discriminating for pre-existing conditions, is a major challenge that will keep us on the edge of our seats.
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