Last month, 98% of the members of the U.S. House of Representatives agreed to repeal the harmful “Cadillac tax” on private health insurance plans. That’s potentially great news for 1.8 million Iowans who get health insurance through their employer. The bad news? The Senate has failed to act.
Thankfully, we have Sen. Joni Ernst on our side. Ernst is fighting to protect the health care of hard-working Iowans and their families and is a strong supporter of Cadillac tax repeal.
Marketed by Obamacare as a tax on “Cadillac” health plans offered to wealthy one-percenters, the flawed tax will soon hit nearly every company, union, and small business due to rising health care costs out of their control. It will not tax “Cadillac” plans, but the benefits of hard-working, middle-class Americans.
While the 40% tax isn’t scheduled to take effect until 2022, we are already feeling its effects. Employers have been forced to reduce benefits and increase deductibles in anticipation of its onset. Further reductions and more cuts are certain the longer we wait.
Sen. Ernst and her Senate colleagues should act fast to end the Cadillac tax. The jobs and health of Iowa residents are on the line.