WASHINGTON- Today, Congressman Paul E. Kanjorski (PA-11) spoke to the Pittston Chamber of Commerce about how the health care reform law that was enacted last week will help small businesses afford to provide health coverage for all of their employees.  The law provides tax credits for small businesses to help them cover their employees, exempts many small businesses that are too small to afford to cover employees, and enables employees to choose the health insurance that best fits their individual and family needs through the health insurance marketplace created in the law.                                          

"Many small businesses struggle financially to provide health insurance for their employees, and many are still unable to because of the extreme costs," said Congressman Kanjorski.  "Insurance premiums have doubled over the last ten years and were expected to double again over the next ten years if we had not taken action to rein in health insurance costs.  Many business owners have avoided hiring additional employees because of the costs associated with health care insurance.  Because of this legislation, small businesses will be able to receive tax credits to help them afford to cover their employees."

"I thank Congressman Kanjorski for taking the time to explain the pieces of the health care reform law that will benefit small businesses," said Rosemary Dessoye, executive vice president of the Pittston Chamber of Commerce.  "There are many pieces of this legislation that will help small businesses afford to provide health insurance for their employees and soon, businesses will be able to take advantage of these opportunities."

The health care reform law provides $40 billion in tax credits for small businesses, which will be offered on a sliding scale, to help them afford coverage for their employees.  More than 60 percent of small employers, or more than 4 million firms, will be eligible for these credits. 

The requirement for businesses to provide insurance does not begin until 2014.  In addition, businesses with fewer than 50 employees will not be required to do anything.  This means that 96 percent of all firms in the U.S. or 5.8 million out of 6 million total firms will be exempt from requirements to provide health insurance.

As a result of the health care reform law, employees will have access to a marketplace of insurance plans where they can choose affordable health insurance that best fits their needs.  Through the marketplace, small businesses and employees can shop for plans that have lower rates similar to what big businesses pay, stable pricing from year to year, lower administrative costs, and a choice of quality plans for employees.

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