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Half of Small Businesses May Drop Health Insurance

Due to the increase in cost of health insurance 47% of small business say they may drop their insurance.

This information was provided through a survey done by Discover’s Small Business Watch.After doing the survey for the past 5 years this year has the highest percentage of small businesses that may drop their health insurance.

Other findings from Discover’s January 2011, survey:

  • 55% favor repeal of the federal health insurance reform law
  • 46% say the current reform law will hurt their businesses while 27% say it will help; 16% say it has no impact; 11% are unsure
  • 38% report health care costs have a major impact on their businesses, compared to 34% in 2010

Several of California’s largest health insurance providers have filed for rate increases this year. New state Insurance Commissioner Dave Jones has asked them to hold off until his office can review their hikes.

Source: OC Register

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