By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Health Works CollectiveHealth Works CollectiveHealth Works Collective
  • Health
    • Mental Health
    Health
    Healthcare organizations are operating on slimmer profit margins than ever. One report in August showed that they are even lower than the beginning of the…
    Show More
    Top News
    HIPPA compliance
    How Medical Office Staff Can Make Your Practice HIPAA Compliant
    October 29, 2021
    Everything you need to know about hyaluronic acid treatment
    Everything you need to know about hyaluronic acid treatment
    February 10, 2022
    Which Mushroom Capsules Are Good for Your Health?
    May 5, 2022
    Latest News
    Health Benefits of Taking a Vacation to Reduce Your Stress
    September 27, 2023
    First Aid Training Enhancing Workplace Health and Safety
    September 25, 2023
    Beyond the Clinic: Medical Surveys Are a Roadmap to Passive Income for Doctors
    September 23, 2023
    5 Self-Care Habits to Help You Live an A+ Life
    September 21, 2023
  • Policy and Law
    • Global Healthcare
    • Medical Ethics
    Policy and Law
    Get the latest updates about Insurance policies and Laws in the Healthcare industry for different geographical locations.
    Show More
    Top News
    physician wellness
    Physician Wellness: Why It’s Such a Struggle
    March 26, 2013
    Bad Medicine: Spycraft and Vaccination Efforts
    May 24, 2014
    doctors should be flexible
    Flexibility: A Necessary Skill of the 21st Century Doctor
    October 24, 2022
    Latest News
    Job Seekers with Disabilities Should at Health Insurance Benefits
    September 12, 2023
    Reasons That Drug Prices Are Rising to Unsustainable Levels
    September 12, 2023
    How Revenue Lifecycle Management Helps Healthcare Providers to Optimize Business Operations
    September 6, 2023
    The Hidden Benefits of Practice Exams for Medical Professionals
    September 6, 2023
  • Medical Innovations
  • News
  • Wellness
  • Tech
Search
© 2023 HealthWorks Collective. All Rights Reserved.
Reading: Understanding ERISA
Share
Sign In
Notification Show More
Aa
Health Works CollectiveHealth Works Collective
Aa
Search
Have an existing account? Sign In
Follow US
  • About
  • Contact
  • Privacy
© 2023 HealthWorks Collective. All Rights Reserved.
Health Works Collective > Policy & Law > Understanding ERISA
Policy & Law

Understanding ERISA

JohnCGoodman
Last updated: 2011/05/06 at 1:22 PM
JohnCGoodman
Share
3 Min Read
SHARE

The Association of American Physicians and Surgeons (AAPS) published an interesting article on Governor Jan Brewer’s (R-AZ) veto of several measures intended to stem ObamaCare in Arizona.

It is a fine article with one exception: It mentions ERISA in passing and repeats a very common misperception. The article says:

The Association of American Physicians and Surgeons (AAPS) published an interesting article on Governor Jan Brewer’s (R-AZ) veto of several measures intended to stem ObamaCare in Arizona.

It is a fine article with one exception: It mentions ERISA in passing and repeats a very common misperception. The article says:

More Read

trust ligitation end of life

Understanding Trust Litigation When Dealing with Health Issues

The Journey to Healing: Navigating the Aftermath of Wrongful Death Claims 
Navigating Immigrant Police Encounters When Getting Healthcare
How Personal Injury Law Supports Your Wellbeing
7 Tips for Improving Reproducibility and Efficiency in the Lab

About 60% to 70% of employers have more than 100 employees and thus fall under ERISA. Freed of state mandates, they can buy their insurance in any state that gives the best price and the best packages of benefits. The rest of us–individuals and small businesses—are chained to the insurance companies and mandates in our respective states of residence, and tied to whatever deals that these companies cut with the state government.

I hate to single out AAPS, because this perception is widely held by all kinds of people. But it is wrong.

The fact is that EVERY employer (except government and church plans) falls under ERISA. It has nothing to do with the size of the group. ERISA says that states cannot regulate ANY employer health plan. What states CAN regulate is insurance companies. Some employers self-fund their benefits and others buy their coverage from a regulated insurance company. The ones that buy from insurance companies are indirectly affected by the regulations that apply to those insurance companies. Many large employers still buy fully-insured coverage, so they too are subject to the mandates, and other regulations, that apply to the insurers.

Back in 2000, I wrote a paper for the Cato Institute that explains a lot of this. At the time it was widely believed that ERISA prevented people from suing HMOs for denying legitimate services. That wasn’t true, either, even though the proposed Patients’ Bill of Rights legislation was predicated on it.

Again, I don’t fault AAPS for misunderstanding this. ERISA is probably the least understood and most litigated law even enacted – at least up until now. If it stands, ObamaCare will cause ten times as much confusion and litigation. Indeed, ObamaCare will compound all the problems of ERISA. Employers will still be exempt from any and all state regulation. But now insurance companies will be subject to dual regulation from both the states and the Feds.

I wonder if the Supreme Court will have time for anything else.

   

TAGGED: ERISA, health care policy

Sign Up For Daily Newsletter

Be keep up! Get the latest breaking news delivered straight to your inbox.
By signing up, you agree to our Terms of Use and acknowledge the data practices in our Privacy Policy. You may unsubscribe at any time.
JohnCGoodman May 6, 2011
Share This Article
Facebook Twitter Copy Link Print
Share
Previous Article End of Life Wishes Simplified with Patient / Physician Agreement
Next Article Study: Comparative Data on Pharma Products Lacking from Previous Decade

Stay Connected

1.5k Followers Like
4.5k Followers Follow
2.8k Followers Pin
136k Subscribers Subscribe

Latest News

Andropause hormonal decline
The Benefits of TRT for Andropause and Hormonal Decline
Wellness September 28, 2023
Cancer Prevention
The Importance of Lipoma Examination in Cancer Prevention
Cancer September 28, 2023
dental implant
Cost Analysis of Dental Implants in Australia
Dental health September 28, 2023
View,Of,Niagara,Falls,In,Autumn
Health Benefits of Taking a Vacation to Reduce Your Stress
Health September 27, 2023

You Might also Like

health insurance disability
Policy & Law

Job Seekers with Disabilities Should at Health Insurance Benefits

September 12, 2023
rising drug costs
Pharmaceuticals

Reasons That Drug Prices Are Rising to Unsustainable Levels

September 8, 2023
healthcare providers
Hospital Administration

How Revenue Lifecycle Management Helps Healthcare Providers to Optimize Business Operations

September 6, 2023
Medical Professionals exams
Medicare

The Hidden Benefits of Practice Exams for Medical Professionals

September 6, 2023
Subscribe

Subscribe to our newsletter to get our newest articles instantly!

Follow US
© 2008-2023 HealthWorks Collective. All Rights Reserved.
  • About
  • Contact
  • Privacy
Welcome Back!

Sign in to your account

Lost your password?