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Employers, Insurance and Health Care

Learn more about the Affordable Care Act and employer sponsored health insurance.

This morning, the Governor of Tennessee voiced concerns that the Affordable Care Act would lead many businesses to drop coverage for their employees. Independent experts have concluded the opposite. The new law will provide tremendous benefits for employers, including tax credits for small business and savings for employers. According to a Business Round Table (BRT)/Hewitt Associates study, employers that offer and contribute to health insurance coverage for their workers could experience cost savings of as much as $3,000 a person from reforms included in the Act.  And the Congressional Budget Office has found that any decrease in employer sponsored coverage would be minimal.

This afternoon, Jonathan Gruber of the Massachusetts Institute of Technology analyzed the Governor’s arguments and declared:

“The Affordable Care Act will not lead to widespread erosion of employer-sponsored insurance. Rather, it will provide the necessary protection for those who are suffering from the erosion that is already taking place.”

Read Gruber’s complete post here.