Editorial: Bridging the health insurance gap

Friday, Jan. 20, 2006 | 7:55 a.m.

Maryland lawmakers earlier this month approved legislation that requires companies with more than 10,000 workers statewide to spend at least 8 percent of their payroll on health care for employees or pay the difference into the state Medicaid fund.

The law, which passed despite an April veto by Maryland Gov. Robert Ehrlich Jr., was called the "Wal-Mart bill" because of the four Maryland employers that have more than 10,000 workers, only Wal-Mart falls below the 8 percent threshold. Wal-Mart officials have said they may challenge the law, which goes into effect in January 2007.

Last fall Wal-Mart lowered the monthly insurance premiums that employees pay after widespread criticism that it insured fewer than half of its estimated 1.2 million U.S. workers, whose names show up on states' Medicaid rolls more often than employees of other retailers, The New York Times has reported.

Many small companies recognize their responsibility to provide fair, affordable health care plans for employees. Large employers not only have the same responsibility, but they also are more likely to have the resources to do it.

Corporations that aren't providing affordable health care plans should heed the action that Maryland's lawmakers have taken and pick up more of their fair share. Legislatures in other states that are beset by rising Medicaid costs most certainly are paying attention.