We have our book published The End of employer-provided health insurance, which discusses the obvious solution to our nation's health insurance employer Leiden - employer-paid individual health insurance. The book is about all major retailers such as Amazon.com and BarnesandNoble.com available.
This item is part of an ongoing series of articles about the 10 reasons, group health insurance is Bad. for you, your family and your business
The seventh Insurance basic group is bad for you, your family and your business is because it is unstable - your costs could double because an employee with a million dollar claim. 
group health insurance uneven
if you have a small or medium-sized employer group health insurance work, if an employee has a baby, surgery or with a chronic illness is diagnosed, you are likely to see a large premium rate increase at renewal time. That's because the insurance needs in order to recover their losses from a relatively small group of people.
group health insurance is misleading because insurance the risk among a large group of people or organizations spread so that no single entity bears the costs of catastrophic illness. However, this is not how group health insurance works. Every time an insured employee in your organization running large medical bills on your organization ends this costs next year on an increase in their annual health insurance premium pay. The insurance is employer paid hardly more than a delayed bill paying mechanism.
Many employers want to worry about everything they had was $ 75,000 per year to pay for the medical expenses for a diabetic child. Some medical situations today, from premature births to cancer can hundreds of thousands or millions of dollars producing cost the entire employee health plan unaffordable, or possibly even drive employers out of business.
Suppose you work for a 51-person company, where a participant a health developed $ 0,000 per year or cost more. Next year, the premium will be paid by your company increase of $ 0,000. The cost of your group raise medical plan would cut more than $ 500 per month per employee, employer compel performance or may terminate the plan. What would happen if two people developed such a condition? group health insurance plans time bombs ticking as its workforce ages.
This annual benefit reductions and / or increased expenditure by the staff inevitably lead to a current version of adverse selection-ending process of the so-called "employer health insurance death spiral."
, the death spiral begins when the cost of the employee to participate in the group plan exceeds the willingness of employees to pay. When this happens, the healthiest employees start the employer plan in favor of policies to decrease. This causes the remaining employers become risk pool proportionately sicker what. To an even higher insurance premiums on the extension of the following year Then the process-employers the benefits repeatedly to keep the costs reduced, fall more healthy employees, and the rate increases even more in the next year.
This group insurance death spiral until the company perpetuates either: (1) lifts the plan itself; or (2) is not enough to get people to stay in the employer-pool, and the plan will be canceled by the insurance company for the low participation. Virtually all small employers measures require participation of 75 percent or more of the eligible employees to be renewed.
What is the solution?
switching to the individual health insurance should, because it is more stable. With an individual plan, you are in a large group and your after subsidy costs can only increase with income.
I will go through reason number eight and nine (group health insurance is bad for the career and bad for the economy) tomorrow.
Click here to read all articles in the series.
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