Afternoon Must-Read: Alicia Munnell: Is RomneyCare Working in Massachusetts?
Alicia Munnell: Is health reform working in Massachusetts?: “One fear following the Massachusetts health reform…
…and reiterated on the national stage, was decreased labor supply–making it easier to get health insurance not tied to employment might cause some individuals to stop working. It was also feared that employers would cut back on employees or hours to avoid the requirement to offer health insurance, which is based on the number of full-time equivalent workers…. Compar[ing] Massachusetts to four other states and found that the… employment rate followed a generally similar pattern…. Massachusetts did not see relative increases in the share of workers working part-time…. Another concern was that employer-sponsored insurance would be crowded out by public insurance, as employers simply dropped coverage and paid the $295 fine per employee. In fact, the percentage of employers offering coverage actually increased after the reform…. Insurance coverage and access to health care have increased, that health outcomes appear to be improving, and that the worst fears about employment have not come to pass in Massachusetts. Costs, however, remain an issue…