Obamacare (aka the Affordable Care Act) isn’t quite as affordable as initially reported, according to a new study from the non-partisan American Health Policy Institute (AHPI).
The organization arrived at its findings by first going to the ACA itself and examining how the law defines “affordable.” From the study.
“Coverage is deemed to be not ‘affordable’ according to the ACA if the employee’s share of the annual premium for self-only coverage is greater than 9.5 percent of their annual household income. An employer plan must cover at least 60 percent of total allowed costs to meet the ACA’s minimum value requirement, and offer ‘substantial’ coverage for in-patient hospitalization services or physician services (or both). Employer plans are also required to offer certain preventive care services on a no-cost basis to participants, and a range of additional benefits, such as the age-26 adult dependent coverage requirement and no annual or lifetime limits on essential health benefits.”
Under the Affordable Care Act’s own definition, the study notes, “over 105 million Americans will find plans in the ACA’s [Affordable Care Act’s] public exchanges to be ‘unaffordable’ when both premiums and deductibles are taken into account.”
The report also states that more than 13 million employees with employer based coverage — 3.0 million with individual coverage, and 10.4 million with family plans — “are now facing the prospect of ‘unaffordable’ health care.”
This isn’t the only bad news that Obamacare has received over the last week. Recently, the office supply chain Staples announced that it would be cutting jobs for any employees who work more than 25 hours per week as a direct result of the healthcare law.
President Obama hit back at Staples in a BuzzFeed interview, saying, “Shame on them.” Staples responded to the President’s remarks.
The BuzzFeed interview did not press Obama on Staples’ reasoning for the cuts, and the company has since responded to the contents of the interview stating that the President “doesn’t have all the facts,” or at least didn’t use them when sitting down with the left-leaning media outlet.
“Unfortunately, the president appears not to have all the facts,” said company spokesman Kirk Saville in comments to CNNMoney.
Saville called the whole BuzzFeed report “misleading,” and noted that Staples “has many opportunities for hourly workers to advance into full-time and management positions.”
“It’s unfortunate that the president is attacking a company that provides more than 85,000 jobs and is a major tax payer,” Saville said.
CNNMoney notes that Staples “had 46,361 full-time workers and 36,647 part-time workers, as of its most recent regulatory filing, made about a year ago,” which is roughly the “same percentage of part-time workers as in 2008, prior to the passage of the Affordable Care Act.”
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[Photo by Joe Raedle / Staff / Getty Images]