A sane voice in the small business health insurance debate

One interesting viewpoint in the often emotional debate about health care reform and small business is coming from Small Business Majority, an  advocacy group in Sausalito, Calif.  I caught up with CEO and founder John Arensmeyer to get a take on his positions.

The group was founded in 2005 and, almost immediately, realized the number one concern for small business owners was health care costs and the need for reform.  After extensive polling, Arensmeyer has come up with the following proposals. (I’m including selected highlights):

–Eliminate pre-existing conditions, with guaranteed availability of coverage by private health insurance companies.

–Set up a health insurance exchange that pools small business buying power and through which insurance companies would compete.

–Require that all employers offer health insurance, but with exceptions.   Also, there would be a tax credit to help small businesses that can’t afford to offer coverage and a sliding scale based on number of employee or payroll, along with an exemption for the smallest businesses.  According to Arensmeyer, 66% of small businesses support the concept that everyone–businesses, employees, insurance companies, and so on–have to contribute to solving the health care  problem.

By the way , he also says his research shows the ruckus over forcing small businesses to offer health insurance is, well, bogus.  The House bill exempts 87% of small businesses from such a requirement (those with under $500,000 in payroll), the Senate legislation excludes 91% (companies with fewer than 25 employees) . Of the 13% of companies not exempted under the House bill, most already offer insurance. So there’s a very small percentage of small businesses that don’t provide coverage that would have to start doing so.

The surprising finding is that most small businesses, according to Arensmeyer, support having a public option as one choice.  But, it’s not of particular importance either to those polled or Arensmeyer, who contends that the exchange would do more for cost containment than a public option. Which is ironic, because he’s been accused by some observers, like the You’re the Boss blog, of being something akin to a left-wing front. “We’re not a mouthpiece of the left,” he says. “We differ on the public plan and how important it is.”  He also fears that the Obama administration has set itself up for a beating from the right by pushing the public option. “It’s unfortunate this has become the centerpiece of the debate, because there are many issues at stake that are more important,” he says.

Personally, I think the public option is an important part of an overall plan, because it puts pressure on health insurance companies to clean up their act.  (Which is why they don’t want it). I just don’t know how the Obama administration allowed the right-wing to take control of the discussion through their appalling campaign of disinformation and manipulation.  And just what portion of the American public really doesn’t understand that Medicare is run by the government? The fact that there’s even one person who thinks that–it’s pretty unnerving.

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I’ll be on vacation, so you won’t see me for a week.  I’ll be taking my daughter–the one who, as you can see in “About Me” to your left, was the only girl on the varsity wrestling team in high school–to her first year at college. On a personal note, I’d love to hear from anyone about just how you got through those first few months of separation.  My daughter will do just fine. It’s me I’m not so sure about.