Mass. Health Premiums for Small Business Soar

The Boston Globe reports:

Many small Massachusetts businesses are grappling with major increases in health insurance costs, despite an aggressive effort by the Patrick administration to cap rate increases.

As a result of premium increases that in some cases top 30 percent, companies say they are reducing coverage to save money, and using more independent contractors instead of payroll employees to avoid having to offer insurance.

“It’s insane,’’ said Ori Ron, managing partner of Hudson Group North America, whose small Swampscott real estate firm faces premium increases of more than 31 percent from Blue Cross Blue Shield of Massachusetts. “The only thing that counts is the bottom line, and the bottom line obviously wasn’t capped.’’

This was the model for ObamaCare. No word yet from Ezra Klein on this one.