The news media is all over the fact that there is an exercise tax that will be charged to health insurance companies that is about 10%.
What they are not telling you is that the companies that do not use health insurance companies in the traditional way and self insure their medical plans only pay about 3%.
In the last year the amount that companies can reinsure has come down to about $75,000. This makes it possible for a company that has about 100 employees to self insure.
Business is booming for reinsurance companies