It was just a few weeks ago when a senior McDonald’s official informed the Department of Health and Human Services that the restaurant chain’s insurer won’t meet a 2011 requirement to spend at least 80% to 85% of its premium revenue on medical care.
Obamacare has new requirements on heathcare insurance. McDonald’s claims the burden may be to much, and that they may simply drop the insurance.
The regulators understood this must be fixed, so the fix is in.
Nearly a million workers won’t get a consumer protection in the U.S. health reform law meant to cap insurance costs because the government exempted their employers.
Thirty companies and organizations, including McDonald’s (MCD) and Jack in the Box (JACK), won’t be required to raise the minimum annual benefit included in low-cost health plans, which are often used to cover part-time or low-wage employees.
The Department of Health and Human Services, which provided a list of exemptions, said it granted waivers in late September so workers with such plans wouldn’t lose coverage from employers who might choose instead to drop health insurance altogether.
Without waivers, companies would have had to provide a minimum of $750,000 in coverage next year, increasing to $1.25 million in 2012, $2 million in 2013 and unlimited in 2014.
The Folks over at Coyote Blog ask:
Actually, the real political question is why McDonald’s gets special treatment, but the folks who run the deli downstairs in my building, who effectively compete with McDonald’s, does not get to operate under the same law, merely because they are not large enough to get the President’s special attention.
Doesn’t seem fair soes it?