Small firms, bigger changes: health insurance coverage take-up rates in small firms after the ACA

Nour Kattih, Fady Mansour and Franklin Mixon

Applied Economics, 2019, vol. 51, issue 54, 5878-5889

Abstract: Measuring the impact of the Affordable Care Act of 2010 (ACA) on employer-sponsored health insurance is essential in an era of constant changes to health policy. Using data from the Kaiser Family Foundation Employer Survey, we focus on firms with fewer than 50 employees in order to isolate the effect of the ACA on small firms. We utilize a differences‐in‐differences approach with a time fixed effect structure to provide analysis for a treatment group of small firms and a control group of large firms. After excluding firms with grandfathered plans, we find that the ACA provisions reduced health insurance coverage take-up rates in small firms by 1.96 to 2.67 percentage points (compared to large firms).

Date: 2019
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DOI: 10.1080/00036846.2019.1630710

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