Health Care Law Confuses, Angers Some Small Businesses

ABC Offers Detailed Look at New Law's Impact on Small Businesses

ByABC News
September 23, 2010, 2:57 PM

Sept. 24, 2010— -- Small business owner Marty Grunder has seen his health insurance costs jump up by 28 percent over the last year.

Grunder says his annual cost has jumped from about $110,000 to $140,000, even though he downgraded the plans and asked his employees to contribute.

"I'm worried because I don't know what's coming," he said.

The Ohio businessman is frustrated by the new health care law, which he feels is putting more constraints on his landscaping company, which has 20 full-time employees.

"During these times when entrepreneurs are so scared and they're adverse to risk right now, which is not good for anyone, you throw another body blow like that and it doesn't do good mentally," he said. "They're afraid to put money back into their business because they're wondering what else is coming."

Most importantly, Grunder, who is also a professional speaker, says he has no idea what the new health care law really means for his company.

"I don't understand what the law even says. It's so complicated," said Grunder, who is a registered Republican. "I have to hire a consultant to even figure it out."

Grunder is one of many Americans and small business owners who are still unclear about what the changes mean for them, as demonstrated in an Associated Press poll released Tuesday.

The Obama administration has stepped up its awareness campaign, but on Wednesday, President Obama acknowledged that more could have been done.

"Sometimes I fault myself for not being able to make the case more clearly to the country," the president said at a backyard event in Virginia marking the six-month anniversary of the health care bill.

Betsy Burton, a bookstore owner in Salt Lake City, Utah who attended the event, blames the lack of support for the health care law on misinformation. Burton, who was present at the event, says she has already seen benefits of the health care law and is excited about the new changes that will be rolled out in the next few years.

"If people look at all the ways that they (the government) have tried to help small businesses in this bill -- it's not going to cost small businesses money, in fact it can help them enormously," said Burton, a Democrat. "Something had to change. Health care was destroying small businesses. Just the fact that they've created a system, even if it's not pefect, means there's a system we can build on."

Here are the provisions aimed specifically at small businesses and what they mean: