Health Care Reforms & Job Locked Entrepreneurs

[selfemployedpro]

Few days before I came across the one very interesting article which elaborated about how Health Care Reforms (HCR) will impact on Job Locked Entrepreneurs. To what extent would-be entrepreneurs feel comfortable leaving their jobs to start businesses? If people can get affordable insurance outside of their jobs, some number of workers who mainly stay in their jobs for health benefits will leave to start small companies or work for them. Although it’s clear that the new law won’t unleash a flood of entrepreneurs immediately because many changes won’t take effect for several years, but it is likely to shift how and when people decide to start new businesses in the years ahead.

I would appreciate reader’s views & opinions on this. Thanks

 

[CHUMPS FROM OXFORD]

Just curious...where are you from and what do you do?

 

[somarco]

Got a link to the article?

FWIW, the reform bill does nothing to lower the cost of health care and just about every provision of the bill increases premiums dramatically and taxes as well.

 

[0b1kanobee]

What th OP is saying is that this new law is supposed to give Entrepreneurs the freedom to leave their workplace and be able to get insurance without being singled out for pre-exisitng conditions.

As it has been stated, this sounds all well and good but at what cost and will it even be doable for such Entrepreneurs? Not likely as premiums will be very expensive as we see it and based on what we can learn from the past and current similar systems.

 

[djs]

The premise of the article is way off base. It makes the assumption that there are a LOT of people that are healthy enough to hold jobs currently, but sick enough they can't get insurance on their own, just waiting for this to be able to start their own business.

Of course, these businesses would be sole proprieters, because small group is guaranteed issue in many areas.

I just don't think this is what is holding people back. A few maybe, but my guess is a very limited number of people don't start their own business because of lack of access to healthcare. More are limited by lack of access to funds.

That said, I do know of some cases where people may have started their own business, but the spouse (or child) could not get private coverage. In most cases, I doubt this was the real barrier to going out on their own, but one of many.

Dan

 

[chp]

Maybe it is just the area I am in (Myrtle Beach SC), but we run into a few people that are "stuck" at work due to health insurance, and would like to venture out on their own. As they run through their business plan, the realize the cost of our "state pool" due to insurability and give up or postpone their dream.

 

[djs]

Maybe it is just the area I am in (Myrtle Beach SC), but we run into a few people that are "stuck" at work due to health insurance, and would like to venture out on their own. As they run through their business plan, the realize the cost of our "state pool" due to insurability and give up or postpone their dream.

No doubt there are a few. I just don't think it will be some HUGE number of people suddenly pull the trigger because they can get insured. Many people are shocked to learn what health insurance cost, and the normal price sends them running. Has nothing to do with guaranteed issue, just the fact its a huge expense in most family budgets if they pay the bill themselves.

My guess is, when the excuse is gone, many still won't start their own business. Some will. I'll guess we are probably talking hundreds of businesses nationwide every year, not even thousands. We'll see.

Basically, if someone wants to start a business, they always could. This doesn't really change that. In most states, there are ways to get insured, whether through normal private plans, small group, or risk pools. It's a simply matter of economics after that.

Dan

 

[stuy119]

Let's assume that the article is correct, and that there are "tons" of people out there waiting to start a business, but can't due to health insurance. Let's also assume that 2014 comes along and makes health insurance available and affordable. (As you can see, those are a couple of BIG assumptions)

So all these people start businesses, since only health insurance was holding them back. Well, I'm not sure if you've ever worked with business owners, but most of them don't know what they're doing and are continually overwhelmed. So we'll have tons of businesses that are failing, and when they try to get a job at Big Corporate, they'll find that they've been replaced by someone who is younger, cheaper, and learns quicker.

It takes a special person to own a business and have it succeed. Most of the people who are waiting to run out and start a business due to cheap/available health insurance aren't "risk takers" to begin with, and won't last long.

But that's my two cents.

 

[bill3173]

No doubt there are a few. I just don't think it will be some HUGE number of people suddenly pull the trigger because they can get insured. Many people are shocked to learn what health insurance cost, and the normal price sends them running. Has nothing to do with guaranteed issue, just the fact its a huge expense in most family budgets if they pay the bill themselves.

Yes, from everything I've heard and seen, most good business people are just waiting for a new entitlement program to kick in, and then they spring into action.

Entitlements are what built this country, not hard work and intelligence.

 

[selfemployedpro]

No doubt there are a few. I just don't think it will be some HUGE number of people suddenly pull the trigger because they can get insured. Many people are shocked to learn what health insurance cost, and the normal price sends them running. Has nothing to do with guaranteed issue, just the fact its a huge expense in most family budgets if they pay the bill themselves.

My guess is, when the excuse is gone, many still won't start their own business. Some will. I'll guess we are probably talking hundreds of businesses nationwide every year, not even thousands. We'll see.

Basically, if someone wants to start a business, they always could. This doesn't really change that. In most states, there are ways to get insured, whether through normal private plans, small group, or risk pools. It's a simply matter of economics after that.

Dan

Hi Dan,

Thanks for your input ...