http://apnews.excite.com/article/20090726/D99M9PJO0.htmlJul 26, 2:13 PM (ET)
By MARK NIESSE
HONOLULU (AP) - Hawaii's decades-old law aimed at increasing health coverage by requiring companies to provide insurance to their workers has brought something less than universal health care to the 50th state.
The experience in President Barack Obama's home state poses some cautionary realities as Congress considers a similar federal requirement that businesses provide health insurance to their employees in any sweeping overhaul of the nation's health care system.
Since its passage 35 years ago, the percent of uninsured in Hawaii has fallen to lower levels than nearly every other state, but the system left coverage gaps. And cost-conscious business owners have found an easy way to avoid the law by hiring more part-time workers who aren't required to be covered.
"If it weren't for that law, medical benefits are one area we would look to cut because of this recession," said Debi Halcro, president of Valenti Print Group, which publishes everything from brochures to coffee table books. "It hurts the business. You can't pass it on to customers in this economy."
Like many Hawaii bosses, Halcro is careful to limit the hours of her three part-time employees so she doesn't have to pay for their health insurance. In all, the company has 43 workers.
Similar loopholes could be exploited under vague language in legislation pending before Congress. The House bill doesn't clarify who is a full-time employee, and the Senate measure only fully covers employees working at least 35 hours a week.
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