Federal Health Care Law Would Cause Insurance Costs to Fall for Small Businesses

The federal Affordable Care Act, if it had been in full effect in 2012, would have increased employer-sponsored insurance coverage and reduced the cost small businesses pay for employee health coverage, according to an Urban Institute study released in October.  As reported by Kaiser Health News, the study shows that the number of people covered by employer-sponsored insurance would have increased by 2.7% and costs-per-person for small businesses (fewer than 50 employees) would have decreased by 7.3%.  Mid-size businesses (between 100 and 1,000 employees) would have seen a 4.6% increase.

Urban Institute study:

http://www.urban.org/UploadedPDF/412675-Implications-of-the-Affordable-Care-Act-for-American-Business.pdf

Kaiser Health News:

http://capsules.kaiserhealthnews.org/index.php/2012/10/study-health-insurance-costs-to-fall-for-businesses-under-50-employees/