E&W Blog

Unsurprisingly, the Democrats’ so-called “Build Back Better” scheme is threatening to derail our entire employer-sponsored insurance (ESI) system. Democrats are willing to rip high-quality coverage from 151 million Americans and remove 2.8 million Americans from their employer-based plan. Contrary to what some are saying on Capitol Hill (including anonymous Ways and Means staff according to a recent Inside Health Policy article), this boondoggle would have a major negative effect on ESI and workers.  

Taking employer-sponsored benefits away from 2.8 million Americans is not an insignificant change. The Democrats’ proposal would make it more expensive for employers to continue offering health insurance to all employees, a move that risks destabilizing employer risk pools. Small businesses will be particularly hard hit, with many likely to end their employer-sponsored health coverage altogether.

For those moved to the Obamacare exchanges, another terror awaits: higher costs, especially for those with preexisting conditions. The maximum out-of-pocket cost is the most someone can be required to pay for in-network services through their deductible, coinsurance, and copays. Those with preexisting conditions are likely to hit this cap. The maximum out-of-pocket costs of an Obamacare silver plan, the most common plan, is $8,550. For ESI plans, that average out-of-pocket limit is only $4,039. Not to mention Obamacare plans normally have smaller networks and fewer choices. Is a pandemic the right time to force someone to find a new doctor?

But this isn’t the only way taxpayers will pay for these programs. In total, taxpayers will spend about $553 billion to fund Democrats’ untargeted policies. That is an additional $14,200 per person to pay for government-controlled health care that most Americans do not even want. 

Why do Democrats want to pay thousands of dollars more per person to move employees, who are already covered by their employer-sponsored plans, onto a lower-quality government program?

The Biden administration is gaslighting the American people into believing that this will make their lives better. The only people who stand to win from this move are the ones in bed with progressives.