After several years as an entrepreneur and running an energy efficiency startup, I have learned a ton about things I never imagined. From developing a sitemap myself to keep down development costs, to responding to hundreds of consumer emails, there is never a shortage of new skills to learn. If you want time for personal development, starting a company is certainly a great venue for that sort of growth. However, one huge challenge that I have not expected to face was providing healthcare for my family.
I recently read a great Crain's article about "Why Obamacare will ignite your startup life". This article really resonated with me, as one of the biggest challenges that my startup faces is affordable healthcare.
We currently are on COBRA from my former employer, a suburban fire department. It costs my family around $1,600 per month, and far exceeds any other costs that we have. I was aware of the likelyhood to need COBRA for a short period after taking a risk on my startup, but never imagined it would lead to a lasting period.
I applied for a new family plan that was around $400 per month and was denied becase of some lingering injuries that I received as a firefighter/paramedic. My wife was also denied by another insurer, because of a recent "condition" that she had (which was resolved after 9 months - and our daughter was born). The irony of this is that the same company that denied our new coverage currently provides our COBRA, and that same exact PPO plan is subsidized by taxpayers of Illinois to provide for state residents that are denied coverage from private companies.
Fortunately, for future startups and their families, the Affordable Care Act will go into effect in January 2013. Entrepreneurs have a ton of obstacles and challenges in their efforts to grow future job providers, and access to healthcare will move down the list.
One nagging part of this, for me personally, is that it points to the fact that earlier in life would have been a better time for me to be an entrepreneur. For me personally, I was not the same person in my 20s and would not have had the same focus that I currently do. However, I would have gladly gone without health insurance, as the risk would not be as extreme.
There is no doubt that ultimately, this country has some runaway costs for healthcare, spending over 17% of GDP and topping all other international countries in spending in almost any measure. No matter what your political views, there is one great thing about Obamacare - it will ultimately help entrepreneurs have access to affordable healthcare. Here is to hoping that it might increase the chance of a few more breakout startups out of Chicago and a "healthier" startup ecosystem.
