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More and more employers are dropping spousal health insurance coverage in response to the extra burdens imposed by Obamacare. These trends illustrate how increasing numbers of people will become dependent on the program’s federal health exchanges. They also clearly counter Obama’s now-infamous claim that “if you like your coverage you can keep it.”
Larger companies have begun the process of “carving out” spouses, meaning that they refuse coverage to any spouse who is eligible for coverage provided by their own employer. This year, only 4% of companies engaged in the practice, but next year that figure is expected to rise to 12%. UPS and the University of Virginia are two of the most recent and high-profile companies to announce this change, with UPS’s change alone affecting over 15,000 families.
Harry Reid has openly stated that Obamacare would lead to a single-payer system, and it’s not difficult to see how this is the case. Federal healthcare exchanges can also be overwhelmed, especially if large numbers of young, healthy people decide to pay the fine instead of purchasing healthcare. Ultimately, Obamacare will not be economically sustainable for employers, individuals or the government, and when this proves to be the case, the federal government will surely push for more involvement rather than stepping back.