Home
/
RELIGION & LIBERTY ONLINE
/
Obamacare: Driving Up Costs And Driving Down Those Insured
Obamacare: Driving Up Costs And Driving Down Those Insured
Dec 9, 2025 8:51 AM

Delta Airlines has announced that it foresees a spike in health care costs for pany to the tune of $100 million a year. A Delta executive, Robert Kight, has said that fees associated with Obamacare will be costly, but won’t likely be more beneficial than what pany’s employees now have.

One of the costly items pertains to an annual fee of $63 per “covered participant” next year. pany estimates this means a more than $10 million expense in 2014. The catch for Delta is that, because many of their employees insure through Delta, the fee meant to help subsidize the health care law’s coverage amounts to a “direct subsidy” from pany that provides “zero direct benefit to our participants,” Kight said.

Another added es from the requirement to cover children and young adults on parents’ plans until they’re 26 years old. Kight reports that the change led to 8,000 more people being added to their rolls, at an annual cost of $14 million.

Further, the individual mandate — or the requirement on individuals to obtain health insurance — is expected to drive more people into pany plan and drive up their costs by another $14 million.

es just after the announcement from UPS and the University of Virginia that they are both dropping spousal insurance for their employees due to the cost of Obamacare. UPS told its employees:

Since the Affordable Care Act requires employers to provide affordable coverage, we believe your spouse should be covered by their own employer — just as U.P.S. has a responsibility to offer coverage to you, our employee.”

“In an effort to maintain premiums at or below current cost,” Andrew McGowan, a U.P.S. spokesman, said, “U.P.S. made a change that affects a limited number of employees.”

This plan affects about one-quarter of the UPS workforce in the U.S.

While the University of Virginia has been a supporter of Obamacare, the $7 million per year spousal support was expected to add to their budget proved to be too much of a burden for the school.

Along with cuts to family insurance plans, Obamacare is forcing many businesses to cut employee hours, especially in the food service industry. The Economist says that Obamacare isn’t a healthy plan for our nation at all:

…Casey Mulligan of the University of Chicago contends that Obamacare’s distortions to the labour market will outweigh any growth from lowering health costs…Mr Mulligan predicts that Americans will work 3% less in 2015 than they otherwise would have.

Interestingly, the number of jobs in sectors most affected by Obamacare, such as retail, leisure and hospitality, have grown relatively quickly, notes Alec Phillips of Goldman Sachs. But the hours worked in such industries have grown more slowly, suggesting a reluctance to add more full-time jobs.

When the final diagnosis is done, Obamacare may have nasty side-effects.

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
Constitutional Cases and the Four Cardinal Virtues
Should virtue be a consideration in judicial decisionmaking? Indiana Law Professor R. George Wright makes an intriguing argument for why the four cardinal virtues could be useful in interpreting constitutional cases: Judges typically decide constitutional cases by referring to one or more legal precedents, rules, tests, principles, doctrines, or policies. This Article mends supplementing this standard approach with fully legitimate and appropriate attention to what many cultures have long recognized as the four basic cardinal virtues of practical wisdom or...
How to Steal a Bike in New York City
Edmund Burke didn’t really say it, but it still rings true: All that is necessary for the triumph of evil is that good men do nothing. In a test of this maxim, filmmaker Casey Neistat tries to steal his own bike in several locations around New York City and finds that most people do nothing about it—even when it’s done right in front of a police station. I recently spent a couple of days conducting a bike theft experiment, which...
Seven “Givens” and Seven “Oughts” of Catholic Social Justice
Cardinal Timothy Dolan recently gave a speech in which he provided a helpful summary of Catholic Social Justice in seven “givens” and seven “oughts.” The seven “givens” are: 1. The sacredness of human life. 2. The infinite dignity of the human person. 3. Solidarity, the “sense of responsibility on the part of everyone with regard to everyone”, service to mon good. 4. The Natural Law, the moral order instilled within us. 5. Subsidiarity, the priority of the most local solution;...
How to Love Liberty More Than a Libertarian Economist
I have a deep and abiding love for liberty—which is why I find myself so often in disagreement with libertarians. Libertarians love liberty too, of course, but they tend to love liberty a bit differently. I love liberty in an earthy, elemental way. I love liberty because I need it—like I need air and food—for human flourishing. In contrast, the libertarians I’ve encountered tend to love liberty primarily as an abstraction. Indeed, the most ideologically consistent libertarians I know seem...
Reagan, Whittaker Chambers, and the Threat to Freedom
Over at the Liberty Law Blog, there is an excellent post titled “Ronald Reagan, Whittaker Chambers, and the Dialogue of Liberty” by Alan Snyder. Snyder delves into the influence Chambers had on Reagan and how their worldviews differed as well. Many conservatives and scholars felt Chambers’ prediction that the West was on the losing side of history in the battle against Marxism collapsed after the fall of the Iron Curtain and the Soviet Union. For many, the ideas of Chambers...
Is Work a Curse?
Is work a curse, a result of mankind’s fall from grace? Not according to the Book of Genesis. As Hugh Whelchel, Executive Director of the Institute for Faith, Work & Economics, explains, what Adam was called to do in the garden is what we are still called to do in our work today: Humanity was created by God to cultivate and keep God’s creation, which included developing it and protecting it. You see, we were created to be stewards of...
Why Churches Don’t Pay Taxes
As society es more secularized, the calls for churches to pay their “fair share” e more vocal. Erik Stanley, senior legal counsel for the Alliance Defense Fund, explains why churches should remain exempt from paying taxes: Why is your church tax exempt? Why should it continue to be tax exempt? If I were to sit down and ask you these questions, would you have a clear and coherent answer? I suspect this is something we seldom think about. After all,...
Lord Acton and the Power of the Historian
Looking through my back stacks of periodicals the other day I ran across a review in Books & Culture by David Bebbington, “Macaulay in the Dock,” of a recent biography of Thomas Babington Macaulay. The essay takes its point of departure in Lord Acton’s characterization of Macaulay as “one of the greatest of all writers and masters, although I think him utterly base, contemptible and odious.” As Bebbington writes, “Acton, a towering intellectual of the later 19th century, was at...
Benedict of Nursia on the Value of Work
Source: Wikimedia Commons. Public Domain. Today marks the feast day of St. Benedict of Nursia, one of the fathers of Western monasticism. One of his most famous dictums was ora et labora: “pray and work.” His Rule served as the munity rule for monasteries in the West for hundreds of years. Consistent with his dictum, the Rule of St. Benedict contains some wonderful passages about the value of work in addition to other pious practices. For example, Benedict writes, Idleness...
Integral Human Development
The Journal of Markets & Morality is planning a theme issue for the Spring of 2013: “Integral Human Development,” i.e. the synthesis of human freedom and responsibility necessary for the material and spiritual enrichment of human life. According to Pope Benedict XVI, Integral human development presupposes the responsible freedom of the individual and of peoples: no structure can guarantee this development over and above human responsibility. (Caritas in Veritate 17) There is a delicate balance between the material and the...
Related Classification
Copyright 2023-2025 - www.mreligion.com All Rights Reserved