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American Business Wants Out of Healthcare

Published in THE HOUSTON COURANT

November 2019

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Sterling Concord Partners is a boutique investment bank specializing in sell-side advisory for Middle Market Companies. 

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SCP is based in Houston, Texas with clients both domestic and international. 

Co-Authored by David Balat & Justin Lurie

David Balat is the Director of the Right on Healthcare initiative with Texas Public Policy Foundation. He has a broad base of experience throughout the healthcare spectrum with special expertise in healthcare finance. He is a former Congressional candidate in Texas’ 2nd Congressional District and a seasoned hospital executive with more than 20 years of healthcare industry leadership and executive management experience.

This article briefly reviews the history of employment-tied insurance and the impending changes of the Health Reimbursement Act to take effect in January 2020 (Executive Order 13813)

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Article excerpt: 

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Still, some solutions have been introduced, in an effort to address portability. One of the most substantive has yet to be implemented. In January 2020 the Health Reimbursement Agreement (HRA) created under Executive Order 13813 will allow employees to shop, compare, and purchase their own health care plans that best fit their needs and goals, and most importantly, be reimbursed by their employer. In this new paradigm, the employer may offer a set amount across nine classes of employees (based on hours worked, location, and more) to reimburse employees for the purchase of their own health care policies, and for certain out-of-pocket medical expenses.

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