Corporations And Health Insurance Vs. White Collar American.

750 words - 3 pages - penguinsagittarius ✓ Expert Reviewed

Corporations and Health Insurance vs. White Collar American.
A well educated man who is a husband and a father receives a job with good benefits. It is standard that when you begin working at a job with benefits, there is a ninety day waiting period for the insurance to become effective. By this time the employee had been employed for six months and one day his young son goes in for a check up and the child was diagnosed with leukemia. All the sudden now you have someone that has a catastrophic illness. Medical billings are through the roof easily costing thirty-thousand dollars a day in the hospital. Because your job offers benefits there is no privacy with the health insurance because your employer receives all medical billings through your corporate benefits administrator. This catastrophic illness can cause the corporate premium for health insurance to increase. This targets you as the root cause for the increase across the board. Under FMLA (Family Medical Leave Act) there is no protection unless the employee has been employed for twelve months. So a simple solution of the company is to terminate the employee because in Texas you can be terminated for no reason at all. Because the employee was targeted, terminated then blacklisted meaning unable to qualify for employment due to insurance coverage issues this resulted in this family to divorce. This happened so that the spouse could qualify for welfare just to meet the child’s medial financial needs. Families feel that this is the only logical solution to their financial problems. This should not be the only option.
What is the problem? The problem with this situation is that the company targeted the family as a liability because the child’s medical situation creating financial burden for the corporation. The insurance company is basing premiums on the experience rating of the individual corporation and not total number of insured by the insurance company. For example an insurance company can have five-thousand accounting firms and base the rates off of classifications instead of the individual corporations. This can cause individuals to be targeted for high medical billings. Without a job and...