Health Care Thoughts…Tom’s avalanche theory

by Tom aka Rusty Rustbelt

Health Care Thoughts: Knowns, Unknowns, Unknown Unknowns, Unintended Consequences

Tom’s Avalanche Theory– once an avalanche is started there is no controlling it

Some of the probable unintended consequences (?) of Obamacare are started to play out.

The convergence of 1) a mediocre economy, 2) a weak labor major and the 3) health reform avalanche are causing a sea change in the relationship between employers and employees.

Current higher deductibles and higher co-pays will eventually lead to much higher deductibles and co-pays and employers dumping employees into exchanges. HSAs will likely become more popular.

This risk** and financial shift will weigh heavy on the working middle class.

So what if Obamacare flops? Is repealed? The avalanche has started and cannot be stopped.

The consequences for the provider side of the equation in another post.

**Jacob Hacker’s book on risk shift is well worth the read. http://www.amazon.com/The-Great-Risk-Shift-Insecurity/dp/0195335341

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