Is Health Insurance Required?

In previous blog posts, we covered topics related to the new health care reform bill, including whether or not it would save you money or what it really involved in terms of requirements. Now, we are going to delve deeper into a subject that is on a lot of people’s minds. And, that question is: “Is having health insurance an absolute requirement?”

Some argue that it is, in fact, required, but technically it is not. In this week’s blog, we are going to attempt to clarify some of the uncertainty around this aspect of the new health care bill. 

Technically, you are not required to have a health insurance, but, as of 2014, all persons who do not have health insurance will receive a fine in the form of a tax.

This means that, while no one can force you to get health insurance, but they can heavily influence your decision by introducing what could be described as a sanction for not getting health insurance.

The Facts

The health care reform bill is in play and it’s already delivering some key changes. Because of the reform, children are going to be covered by their parent’s plans until they are 26 years old. This is a good thing for a couple of reasons.

First, it allows them to either be well enough on their own that they can afford insurance or have a job that offers insurance benefits by that time. Second, the bill makes getting insurance easier for many people and puts a tax on those whose household incomes that are over $250,000 a year.

Come 2014, those who choose not to have insurance whether through the many assistance programs that many will be eligible through their jobs or opting to purchase it on their own will be taxed. This tax will increase over a two-year period in which the fee will then become stagnate.

How do you avoid the tax and is it really that much easier to get healthcare? Through newly implemented ‘exchanges,’ you can easily purchase a health insurance plan.

Many individuals from impoverished families to the elderly are eligible for government underwritten healthcare, which makes attaining it that much easier.  Due to newly implemented tax benefits and laws, it is in the best interest of businesses to offer health insurance. All of these reasons and more show just how easy this reform will make attaining health insurance.

The Benefits to All

While some are against this particular type of health care reform, some are for it and others have just ignored it; the fact is that health care reform is here and that is all there is to it.

Before the reform, there were many that had no way of getting health insurance. Now, with the ‘exchanges,’ the incentive for business, along with the government’s assistance, it is much easier for the majority to have their health care needs better served.

Next week, we’ll have the last in our series about our opinions on health care reform and what it means for businesses and health insurance benefits.