Obama Indicates Flexibility for Family Health Insurance

January 13th, 2010 Leave a comment Go to comments

The latest snag in health care legislation – the “excise tax” – has been seen by opponents as an assault upon family health insurance, and specifically, on the middle class.

As a result, President Obama has taken a more proactive role in the negotiations for health care, and according to The New York Times, is willing to renegotiate family health insurance plans so as to “make this work for working families.”

The article sums up the dispute regarding the tax, and in particular addresses the powerful opposition that has been mounted by labor leaders and unions.

While the President reportedly views the tax as a major means of financing health care, labor leaders claim that many middle class men and women, some part of the union and some not, chose to enjoy better health insurance plans instead of raises and bonuses.

A tax on those plans, many of which are family health insurance plans, would impact the middle class disproportionately.

The unions favor a different tax upon the wealthy instead, one that is designed for couples making more than $1 million a year.

Unfortunately it isn’t clear whether this alternate tax would provide as much money, but with unions threatening to withdraw their support of the Democratic President, it’s likely that he’ll make some type of change to appease them.

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