The number of small businesses in Louisiana who offer a health care plan to their employees has decreased by more than 24% over the last three decades. Louisiana also ranks at the top nationwide for the percentage of its population enrolled in government programs.
That’s according to health care economist Michael Bertaut, who was the guest speaker Wednesday at the Rotary Club of Baton Rouge.
Bertaut, who is also the exchange coordinator at Louisiana Blue―formerly Blue Cross and Blue Shield of Louisiana―gave an analysis and breakdown of how Louisiana health insurance plans have shifted over the decades and how health insurance dollars are being spent.
Fifty-six percent of insured people in Louisiana are on Medicaid and Medicare. The largest population of people enrolled in Medicaid are adults under 65 with incomes below the federal poverty level.
“It’s not enough to give folks coverage. You have to give them meaningful coverage,” Bertaut says. “You have to pay people a living wage.”
The cost of prescription drugs for consumers has increased over the last 20 years. When asked why pharmaceutical companies can charge so much for prescription drugs, Bertaut said this: “Because they can and because we put up with it.”
He advises local business owners to work with an agent to ensure the agent can sell them group and individual coverage.
“Protecting the small group market is an economic investment in Louisiana,” Bertaut says. “If we don’t protect that market, we won’t be able to grow businesses here like Walks-On’s, Raising Cane’s and these guys who have been immensely successful. They all started out with one shop. If they couldn’t have gotten health insurance for their managers and employees for that one shop, would they have even grown? Would they have attracted talent? What would have happened?”
