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FOR IMMEDIATE RELEASE
July 21, 2009
12:39 PM

CONTACT: US PIRG

Larry McNeely
Mobile: 703-980-6291
Office: 202-546-9707 x303
lmcneely@pirg.org

New US PIRG Survey: Small Businesses Crushed by Rising Health Costs

WASHINGTON - July 21 - Small business owners are being crushed by rising health care costs, and feel left out of the current health care debate in Washington, according to a new report released by U.S. Public Interest Research Group on Tuesday.

"In this economy," said U.S. PIRG's Health Care Advocate, Larry McNeely, "health care costs are killing small business owners. But instead of leading on this important issue, the national Chamber of Commerce and other inside-the-beltway groups are playing politics with a crucial issue and actively impeding reform efforts."

The new report, The Small Business Dilemma, which surveyed hundreds of small business owners and managers across the country, makes clear that small business owners want and need health care reform.

Mike Brey, owner of the Hobby Works hobby stores located in communities around Washington, is one of those small businessmen, and he is anxious to speak out on the issue.

"We are creating a greater downward spiral," Brey said about the current health care system and its rising costs.

U.S. PIRG surveyed 309 small business owners and managers around the country for the snapshot survey. The data collected found that the costs and administrative hassles associated with offering insurance weigh particularly heavily on small businesses.

According to the 14-page report:

  • Small businesses value health insurance as a key to business success because it allows them to attract better employees.
  • 78% of small business owners surveyed who do not offer coverage would like to do so.
  • 80% of those who would like to offer coverage cite the expense of coverage as a reason why they don't

Read an Executive Summary of the The Small Business Dilemma

Download the Full Report, Click HERE.

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U.S. PIRG, the federation of state Public Interest Research Groups (PIRGs), stands up to powerful special interests on behalf of the American public, working to win concrete results for our health and our well-being. With a strong network of researchers, advocates, organizers and students in state capitols across the country, we take on the special interests on issues, such as product safety,political corruption, prescription drugs and voting rights,where these interests stand in the way of reform and progress.