[lbo-talk] Herbert on The Diabolicalness of the cadillac tax

[Chuck Grimes]

Never mind all that crap. Here is the real catch. The bill equates 
the price of a policy with `quality'. The fact is price has nothing
to do with quality of coverage. It has to do with assessment of the
beneficiary. Me for example. I cost, because of age and health about
twice the price of a younger employee without the health risk factors
of age and health history. 

So then in translation that means that my former health insurance
would be taxed based on the price of my coverage and not on the scope 
its coverage. The effect is to multiply the adverse effects. My former
policy would look like quote Cadillac unquote coverage, when in fact
it was barren (think used Chevy truck) although quote Cadillac unquote
in price. So me and my employer would have a tax burden imposed in 
addition to the price addition based on age and health risk. 

CG