Friday, October 1, 2010

That Was Fast III

McDonald's has announced it may drop health insurance for 30,000 of its restaurant workers if certain changes are made to ObamaCare.

The specific provision that is causing a problem for McDonald's is the requirement that health insurance spend at least 80-85% of its premiums on medical expenses. Because of high turnover and low premiums for its health insurance for restaurant workers, administrative costs are higher than 15-20% of the total premiums.

McDonalds has requested that regulators waive the requirement so it can continue to offer health insurance to its restaurant workers.

Barack Obama said people could keep their existing health insurance policies if they wanted under his "reform". But ObamaCare has made it impossible for some health insurance, and uneconomic for other plans, to continue.


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