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Posting date: October 13, 2004
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Health Affairs, 10.1377/hlthaff.w4.469
Copyright © 2004 by Project HOPE


Web Exclusives

Employers’ Responses To A Play-Or-Pay Mandate: An Analysis Of California’s Health Insurance Act Of 2003

Anna D. Sinaiko 1*

1 Anna Sinaiko is a doctoral candidate in health policy at Harvard University in Cambridge, Massachusetts.

*Corresponding author.

  Abstract

California recently enacted a play-or-pay employer mandate (known as SB 2) to expand health insurance coverage to a portion of the state’s working uninsured population. Implementing SB 2 will change the behavior of employers affected by the legislation, with consequences for California’s labor market and uninsured citizens. This paper applies findings from the literature and an economic analysis to California data to estimate the potential reduction in wages, quantify the dispersion of risk across employers, and discuss other employment effects. These employer responses will reduce the number of uninsured people in California who gain eligibility for health coverage under SB 2.

Key Words: Business Of Health, Consumer Issues, Health Reform, Health Spending, Insurance - Employer-Based System, State/Local Issues


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Comments:

Read all Comments

An economist's analysis lacking common sense
Matthew Holt
Health Affairs, 14 Oct 2004 [Full text]
A Misconceived Analysis of California's Health Insurance Act
Rick Curtis, et al.
Health Affairs, 15 Oct 2004 [Full text]
California's SB2: The Author Responds
Anna D. Sinaiko
Health Affairs, 26 Oct 2004 [Full text]
Reality Bites: Labor Costs Do Affect Profits
Matthew Holt
Health Affairs, 22 Nov 2004 [Full text]


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