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How Does The Affordable Care Act, Work
Overall, it appears that some people may benefit from the changes of the Affordable Care Act; however, more people are going to be paying a high price for their healthcare insurance....
The Affordable Care Act is being considered with a proposal to fix what is wrong with our health care system. The four areas this act mainly focuses on are as follows:
Stronger Consumer Rights and Protections
As of now, your current insurance company can now decide not to insure a child born with medical problems, or put a limit on the amount they will have to pay out over a lifetime. The Affordable Care Act will make sure every child is covered from birth and there will be no limit on the dollar amount any one person can receive.
More Affordable Coverage
The hospital and doctors will have to compete for the services that are offered and the consumer should benefit from this by having a lower price to pay for any service that is needed.
Better Access to Care
Since they will be lower prices for services, the providers will have to offer better care to keep their patients and enlist new ones.
Hypothetical, the Affordable Care act will make Medicare stronger by reducing fraud and providing easier access to care for all Medicare consumers.
The above is what has been told will happen if/when the Affordable Care Act is put into order; however, many feel as if this is not true. Factors to be considered are as follows; if you do not have healthcare insurance in 2014 you will be penalized 1% of your income, or $95 (whichever is more). Also, in 2016 that amount will increase to 2.5 percent of your income. This is proposed to somehow make getting healthcare insurance easier for everyone.
Senior citizens will see an improvement in care for preventive services through Medicare with the Affordable Care Act and will get additional help paying for prescription drugs. They will also see cuts in the Medicare benefits for hearing aids, glasses and fitness center; therefore, it is a case of we give you something – we take something away.
Another factor to consider is for those that are under 27 years of age and not offered insurance through their job. They will be responsible for paying full price for their healthcare coverage; otherwise, penalized for not being covered. Those under 27 will be allowed to stay on their parent’s policy and this age will be raised from 18 years of age.
With the Affordable Care Act, Medicaid will be available to those that earn less than 133 percent of poverty line and middle class American must qualify for a government subsidies if they make no more than four times the poverty level and this amount will be paid to the insurance companies and show up on your bill as a discount. If you are considered wealthy then you will be expected to pay higher fees. Within five years, the federal government will add a 40 percent excise tax on all citizens earning over $200,000.
Another factor to the Affordable Care Act is that it does not make any provision for undocumented immigrants. They will not be eligible for Medicare or to buy insurance from the government. Insurance can be purchased by immigrants but they will have to pay a higher fee through a policy broker.
The last notable changes are for those whom are able to claim medical expenses on their tax return. The amount will change from 7.5 to 10 percent of your income; therefore, you will not get as much back in tax returns.
Overall, it appears that some people may benefit from the changes of the Affordable Care Act; however, more people are going to be paying a high price for their healthcare insurance and will also not be allowed to be without insurance, or will be issued a fine – and this is going to create an impact for many of people...http://www.newsonhealthcare.com/