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Bipartisan Effort Revises Health Law Provision For Small Businesses
Kaiser Health News

President Barack Obama signed legislation last week that makes a significant change in the health law’s small business rules, following a rare bipartisan effort to amend the health law.

The revision updates the definition of “small employer” under the health law so that companies with 51 to 100 workers will not become subject to the small group insurance reform provisions next year. Instead, the new law allows those companies to continue as large group plans, unless states step in to define them differently. Lawmakers from both parties argued that classifying these companies as small businesses would increase their health insurance premiums significantly because they would have to comply with requirements to offer a comprehensive package of benefits, among other things.