Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: SUNDAY, August 7, 1994 TAG: 9408090004
SECTION: HORIZON PAGE: D5 EDITION: METRO
SOURCE:
DATELINE: LENGTH: Medium
Age: Larry, 45; Sherri, 45; Hannah, 6; Wyatt, 2
Community: Moneta
Occupation: Larry is an independent sales representative associated with a business that restores parking lots and tennis courts; Sherri is a homemaker.
Insurance: Time Insurance Co.
Problem: Larry Bernath recently sold his company, Pave Maintenance, which he owned for four years. As owner of the company, he tried to provide health insurance for his eight to 10 employees, but because their work (and thus employment) is seasonal, he was ineligible for group policy status when he laid off workers during the winter. Along with his employees, Bernath lost his insurance policy.
When Bernath applied for an individual policy for his family, he was unable to find a company that would include his son, who was born with Down Syndrome, at a reasonable rate. Blue Cross and Blue Shield of Virginia, which had been providing his coverage, agreed to continue covering the whole family for more than $500 per month, up from the $350 per month that they had been paying under the group policy.
The Bernaths finally took a reduced-benefit policy for $210 per month with Time but were unable to cover their son. Wyatt runs up about $2,000 in annual health care bills, mostly because of colds and ear infections. He is also developmentally delayed and may require physical therapy.
How some reform bills could affect them:
HOUSE LEADERSHIP BILL: Denying coverage or raising rates for pre-existing conditions would be prohibited. Seasonal workers at companies that employ fewer than 100 people would be covered under Medicare Part C, a new program. Self-employed workers would be able to buy insurance through community rates, that is, individuals would pay the same rates as large or small groups. Employers would have to contribute to the Medicare plan.
SENATE LEADERSHIP BILL: Denying coverage or raising rates for pre-existing conditions would be prohibited. Seasonal workers would buy their own insurance using government subsidies. They would pay modified community rates, which could be adjusted for age and geographic location. Employers would not have to contribute immediately but could be forced to at a later date.
SINGLE PAYER BILL: Automatic coverage for all, paid for with a payroll tax.
What he'd like to see:
"I generally support the Clinton plan," he said, particularly the part that would require employers to provide health insurance for their employees.
Small business opposition to employer mandates is "short sighted," Bernath said. If every employer had to provide coverage, small business would be better able to compete with big business for top employees, who may be lured to larger companies by the promise of health insurance.
by CNB