Should Producers of Insurance for Prevailing Wage Workers Worry about the Possible New Healthcare Act?
If you get your income from selling annuities and life insurance, then the policy fight of the U.S. Senate for healthcare finance should concern you.
When the US decided to take a leaf out of France’s book by establishing a carefully monitored medical insurance market, they were not able to foresee how complicated it will be. Preventing the persistent waves of health risk from pushing the good providers of healthcare benefits out is difficult.
3 Possible Effects of the New Healthcare Act
At present, the Senate Republicans are pushing to pass their version of the HR 1628: the Better Care Reconciliation Act (BCRA) Bill. Here are three ways producers of healthcare benefits and employee benefits may be affected:
1. The new Healthcare Act can decide the fate of the two taxes that burden high-income taxpayers and the Internal Revenue Code.
The net investment tax deducts 3.8 percent from the investment earnings of those who earn beyond $250,000 for couples and $200,000 for individuals. On the other hand, Medicare deducts 0.9 percent.
The BCRA bill aims to remove these two taxes by 2016 and 2022 respectively. The result of the policy fight will determine if there will be budget savings and if there are reforms in the Internal Revenue Code that are needed to be made.
2. The fight on healthcare bill may incite a heated discussion with the AARP
The AARP has been trying to convince 11 senators of 8 states to not support any bill that is similar to the House American Health Care Act bill. The two bills will increase the difference of the amount in which insurers can charge between their oldest enrollees and youngest adult enrollees.
The premium tax credit subsidy system will now be based on the age of the consumer. The success of the AARP will affect how senators address issues like long term healthcare finance.
3. The healthcare policy discussion can convince the White House and the Republican members of the congress to make bipartisan compromises
Ever since Trump held office, the approach to legislation is strongly partisan. However, this could all change if the efforts for pushing the BCRA will fail. This may make tax code simplification more complicated, but this will greatly help sweeten the regulations for owners of medical insurance and other healthcare benefits.
Stay Updated with the Latest Healthcare Policies with ARCHER JORDAN
The outcome of the discussions regarding the Senate Bill will affect the ability of consumers to afford medical insurance for healthcare benefits. ARCHER JORDAN is a third party fringe benefits administrator that is always abreast of the latest developments in healthcare benefits legislation. As a producer who partners with ARCHER JORDAN, we can connect you with companies that are looking for your professional service. Contact us today.