In what turned into a partisan debate on the Senate floor, Enzi, the ranking member of the Senate Health, Education, Labor and Pensions Committee, argued that 80% of small businesses would lose their grandfathered status under this new regulation.
This means the small firms would be required to comply with new insurance mandates, forcing them to change their plans and increase the costs of insurance, Enzi said. This essentially undermines the president’s promise that people can keep the healthcare plans they want under the new law, he said.
Senate Democrats defended the premise of the healthcare law’s grandfathering regulation.
“The regulation preserves market stability while also providing consumers with some critical protections against insurance industry abuses,” said Senate HELP Committee Chairman Tom Harkin (D-Iowa), who hailed the defeat of the Enzi resolution.
Senate Finance Committee Chairman Max Baucus (D-Mont.) called Enzi’s resolution “a political stunt” that sought to repeal the law, and would “strike down disincentives for plans to cut benefits, increase consumers’ out-of-pocket costs, or reduce how much healthcare a consumer may use in a year.”