Small businesses unhappy with health care law, insurance costs

Health insurance premiums are projected to go up this year. Allison Blackmer is co-owner of a small computer software business in Appleton and has eight employees. She’s expecting a premium increase of up to 20 percent.

“We pay about 95 percent of their health plan at this time,” said Blackmer.

But the more Blackmer learns about the new health care insurance law, the more she gets angry.

“I am so sick of hearing that word transparent. This health care bill was not transparent,” Blackmer blasted at Congressman Steve Kagen during a gathering of small business owners designed to highlight the benefits of the law.

“Premiums are going up this year you didn’t fix a thing,” she told the Congressman.

In meeting with small business owners Kagen is finding some resistance to the new law. He says understanding the details has been a problem, but he maintains there’s something in it for everyone.

“There’s a great deal of confusion it’ll take time to understand what’s in the new health care law,” said Kagen. “And when small business takes a look at it they’re going to like what they’re going to see.”

Kagen points to tax credits up to 35 percent to cut the costs for insurance coverage. But it’s on a sliding scale, and Blackmer says her tax credit would be minimal.

“When you crunch the numbers my actual tax credit if I’m lucky will be between one and two percent,” said Blackmer.

Others small companies though paying wages closer to minimum wage could realize full benefits.

“The people I work with are going to be helped by it,” said JeanMarie Hinds, a tax consultant and owner of Taxx Dog, a small business in Appleton.

Kagen says the health care law has taken a positive step forward in reforming the industry, but it all has to be worked out.

“That’s why it doesn’t really kick in until 2014 it gives everyone an opportunity to see what’s in it for them,” explained Kagen.

And so far some small businesses are finding there’s not as much in it for them as they thought there would be.

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