What Will a New HHS Secretary Mean for Your Company Health Plan?
As those who are plugged in to current events may be aware, President-Elect Donald Trump has chosen an outspoken critic of the Affordable Care Act to be the next Secretary of Health and Human Services. Congressman Tom Price (R-GA) is an orthopedic surgeon who has his own decided positions on health care reform – positions that some say may “heal” the weakest parts of the Affordable Care Act.
What are those weak spots? Remember, the ACA will most likely account for $1.8 trillion in new spending over the next decade, while only covering approximately 31 million of the 48 million uninsured Americans. That was not necessarily by design, of course; it is mostly due to employers being forced to restructure due to the law, followed by the reality that around 9 million fewer Americans have enrolled in their state exchanges than the government anticipated. Meanwhile, median health insurance premiums have shot up 116% since 2012. Clearly, there is a lot about the ACA (Obamacare, for those who prefer the colloquial term) that needs to be reformed – so this new cabinet choice is intriguing. But will it be effective?
No one can say for sure, of course. And that’s why, no matter who is appointed to the new presidential cabinet and what their positions are when it comes to regulation and subsidies, companies still need to take the appropriate measures to protect their bottom lines and serve the employees who keep their operations working. For healthcare, one of the best ways to do this is with direct contracting, a model that involves implementing contracts with healthcare providers rather than insurance carriers. If a new HHS secretary ushers in big changes that make a positive impact for employers, that’s great – but for employers that have made smart choices for the health plans they offer, the benefits will be even greater. Learn more about it by calling GM&A at (325) 224-3245.