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Government and Politics


Study shows new health-care law could spawn entrepreneurship
Ohio is ranked forth in expected growth for self-employment
Story by GRACE MURRAY


 

A new study suggests that changes in health-care coverage may inspire thousands of Ohioans leaving their company jobs in favor of self-employment.

The finding is based on the Urban Institute’s comparison of entrepreneurship rates in states that had adopted health-care reforms similar to the Affordable Care Act with states that have yet to make significant health care changes.

The Urban Institute’s Linda Blumberg estimates as many as 67,000 Ohioans could become self-employed after the law goes into effect next year, which would fix what she calls “the weakest individual insurance market in the nation.”

LISTEN TO: BLUMBERG ON NON-GROUP INSURANCE

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“There’s a real variation in terms of how people are treated and what kind of benefits they can purchase. And the changes under the health-care reform law  are the most substantial in correcting the problem in the non-group market," Blumberg says. "That’s why it also leads to people being able to make decisions about employment without worrying about whether they’re going to get health-insurance coverage in the future.”

The study comes just as findings were released by the Ohio Department of Insurance saying individual health-care costs could skyrocket by as much as 88 percent under the new healthcare law.

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