This presentation was created for my statistics class to talk about the effects of Obamacare and the statistics mentioned in the article from The Economist.

1. Health Care Reform
Obamacare
Juliana Thompson
GBS 221

2. Health Insurance Topics
• Obamacare
• Company reactions
• Possible results

3. “Health Insurance in America: The Insured and the Unsure” Obama Said…
“IF YOU like
your health-
care plan, you
can keep your
health-care
plan.”

4. Firms Question…
• Will firms keep company healthcare?
• Will firms give a stipend for private health?
• Will firms make employees pay more?

5. Facts
• Obamacare begins January 1, 2014
• Today 150 million Americans get health
benefits.
• Post WWII era, tax-free employer
healthcare
• Wage freeze

6. Facts
• Healthcare: doubled in last 10 yrs
• Costs employer $15,745 a year to cover
employee with family.

7. Facts
• Incomes of 100-400% of poverty qualify
for state subsidies
• Companies may drop coverage
– the state can cover healthcare
• $2000 per person company fine

8. Drop Healthcare
in 5 Years
• Small companies
may drop medical
insurance
• Small – 21%
• Medium – 8%
• Large – 5%

9. McKinsey Study
• 2011 - 30% of employers would drop
insurance after 2014
• If the company understands health
reform - over 50% would drop insurance

10. Deloitte Study
• 9% of employers will drop coverage in 3
years

11. Defined Contribution
• Company pays employee a fixed sum for
private insurance.
• Similar to fixed pension
• A predictable cost for employer
• Encourages workers to take control of their
own health
– lose weight or quit smoking

12. Defined Contribution
• All companies
consider this option.
• Small – 45%
• Medium – 38%
• Large – 32%

13. Workers Spend More on Health
• Overprescribing: “My insurance will
cover it.”
• Mercer - 43% of employers expect
workers to pay more in 2013
• 60% of Big companies willing to have
employees spend more

14. Workers Spend More
• Large companies
prefer to shift costs
to workers
• Small – 43%
• Medium – 59%
• Large – 68%

15. Expectations
• Employees will become healthier to
minimize costs
• Delay seeing doctor
• Avoid doctor

16. Conclusion
• Spending more on health
• Increased responsibility on health users