PRESCRIPTION FOR HEALTH CARE
Concerning "Stronger medicine," (Robert Schwab, July) the solution is not going to come from government or effectively through citizen action. There is a solution ... or a better way. That solution is through professional employer organizations.
Professional employer organizations (PEOs) have the ability to consolidate small groups into larger groups. This vehicle can make health insurance more affordable for small businesses and their employees, and therefore reduce the number of uninsured (which will also have a positive impact on costs).
Health insurers charge a higher premium to small groups because the small size of the group is a higher risk. By having larger groups, insurers can more readily predict claims and spread costs over a larger premium base.
Our lawmakers, in my opinion, don't know what to do, and in fact, will likely mess up the health insurance issue even more with any action they would take.
Incidentally, PEOs also provide many other human-resource services to small business for the benefit...