It is no mystery why President Obama issued an executive decree that extended the requirements for implementation of the Affordable Care Act on employer plans to 2014. He did that even though he did not and does not (according to my understanding of how laws are made) have the authority to issue decrees that changes a law passed by Congress and that he signed. The President knew there will be outrage when tens of millions of people on employer health insurance plans begin receiving cancellation notices, and that outrage has now been delayed.
Estimates of the percentages of employer-insured people who will lose their plans were published in 2010 in the Federal Register. Reading the entire entry is instructive about the complicated process of imposing a regulation. There is a long list of things that will cause a company plan to no longer be legal. Table Three of the entry provides a midrange estimate that 22% of employer plans did not meet the “grandfathered” requirement by 2011, 38% by 2012, and 51% would not meet the requirement by the end of 2013. The high end estimate is that 69% of plans would not meet requirements by the end of 2013. (See Page 34522, Table Three of the link to see the details of the estimate ranges.) Continue reading