On June 28, 2012, the last day of its current term, the U.S. Supreme Court announced its decision on the constitutionality of the health care reform law.  The Court upheld the entire law, holding that Congress acted within its constitutional authority when enacting the individual mandate. This means that the health care reform law will continue to be implemented as planned and provisions that are already effective will continue.

The health care reform law, commonly referred to as the Affordable Care Act, was enacted in 2010. Opponents of the law quickly started filing legal challenges to its validity. Most of the legal challenges focused on the constitutionality of the law’s individual mandate—the requirement that individuals purchase health insurance coverage or pay a penalty beginning in 2014.

Because the individual mandate was upheld, all aspects of the health care reform law that have been implemented will remain in effect. Additionally, the remaining provisions of the health care reform law that are not currently in effect will continue to be implemented as planned. Most notably, beginning in 2014, all individuals will generally be required to purchase health insurance or pay a penalty.

Health Care Reform threatens to increase health insurance rates further when fully implemented in 2014.  We have a solution to this problem – Alternative Benefit Funding.  Alternative Benefit Funding has lowered employers’ costs as compared to a carrier such as Blue Cross Blue Shield by between 20% to 40% immediately, and contains costs with less than 3% increases per year for the last three years.

Alternative Benefit Funding allows employers to utilize market forces to reduce medical fees.  Quality care is emphasized because quality is crucial to your employees and better outcomes result in lower costs.  Risk management techniques used by large corporations such as Wellness are utilized.  Many of the Health Care Reform rules increasing costs are avoided as well.