September 22, 2010
Washington, D.C. – U.S. Senator Mike Enzi, R-Wyo., Ranking Member of the Senate Health, Education, Labor and Pensions (HELP) Committee, today launched an effort to allow a Senate vote on overturning a provision of the new health care law that threatens small businesses with higher health care costs, more regulation, and even loss of the health insurance many of their employees rely on.
“Throughout the health care debate, the President continually promised, ‘If you like what you have you can keep it.’ The grandfathered health plan rule breaks the President’s promise,” Enzi said.
Enzi is urging colleagues to demand a vote on a resolution of disapproval (S.J. Res. 39) to overturn the so-called grandfather rule in health care reform – a provision that was supposed to spare small businesses already providing health insurance to their employees many of the higher costs and new mandates the law imposes.
If small businesses lose their grandfathered status, they will be required to comply with new insurance mandates. These new mandates include requirements to provide a federal minimum benefit package and to waive co-payments for certain services. Enzi said this will force small businesses to change their plans and increase costs of insurance.
“An estimated 80 percent of small businesses are expected to lose their grandfathered status based upon the regulations the Administration wrote. That means the small firms that do offer health insurance won’t be able to afford what they now provide.”
“The Administration’s grandfather rule is a job killing, wage cutting, game changer for small business,” Enzi added. “This is not the kind of reform the people wanted.”