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Monday, November 15, 2010

ObamaCare Waivers -- Not a Bakken Story

I was curious to see what companies have been approved waivers regarding ObamaCare regulations.  At least 111 "entities" have been granted waivers, so far. The list is here. I use the term "entities" because the list includes names of companies most folks folks recognize, as well as insurance programs that most of us would not recognize, and private groups, such as unions.
It was my understanding that McDonald's got a waiver also, and they are not on the list.

Aha, when you google the McDonald's / ObamaCare story, it turns out that there's an entity, BCS Insurance Group, that covers McDonald's. And BCS Insurance Group is on the waiver list (affects 115,000 employees).

It is interesting to see so many health care companies on the list. Just the other day I mentioned that regardless of how the ObamaCare bill plays out, this was a once-in-a-lifetime opportunity for health care companies and health care insurers to "reset." Health care insurers could reset (raise) rates and blame it on Congress. They could eliminate costly programs that many beneficiaries relied upon, and again, blame it on Congress. Family health care plans and child-only health care plans come to mind.

I would assume it's only a matter of time before most "entities" apply for a waiver; if not, the company will be at a financial disadvantage, all things being equal. In fact, I would venture to say that it will become an issue for stockholders of any publicly held company that does not request a waiver.

It will be interesting to see if fossil fuel companies, especially coal companies, get waivers. Maybe they already have, through their unions.

"If a tree falls in a forest and no one is around to hear it, does it make a sound?"

If everyone gets a waiver from ObamaCare, is it still relevant?

Updates

February 2, 2011: On CNBC's Kudlow tonight, it was stated that the number of waivers has risen to 777.

November 16, 2010: Fargo city employees' health insurance premiums will increase 10 percent due to ObamaCare. Why is Fargo not applying for a waiver?

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