The Affordable Care Act and How it Impacts You

As with any new piece of government statute, the 2010 Patient Protection and Affordable Care Act (PPACA) has many consumers and businesses wondering exactly what it is and, more importantly, how it will impact them or their business. This piece of legislation effects private and public health insurance industries and programs.

There are multiple year deadlines for each piece of reform and this far reaching legislation has a sufficient impact on the way insurance operates.

Main Features of the Patient Protection and Affordable Care Act

How will this piece of legislation affect me? This is the question on everyone’s lips. The main points of the law focus on health care reform. The following changes have been introduced:

Individual Mandate: Persons who are not covered under an employer sponsored health care plan, an approved private insurance, Medicare, or Medicare will face a penalty for not having coverage. However, members of a recognized religious sect or instances of financial hardship will receive a waiver.

Guaranteed Issuance: For the most part, the pre-existing clause has been removed (except for tobacco use), and insurers are required to offer the same premium rate to all applicants in the same age group.

Health Insurance Exchanges: Each state will have a health insurance exchange where consumers and small businesses can go and compare policies and premiums as well as purchase insurance.

Minimum Health Insurance Standards: The PPACA requires insurers to have minimum standards for insurance policies and will require the elimination of annual and lifetime coverage caps.

Businesses: Very small businesses that purchase their health insurance policies through the exchange will be eligible for subsidizes. If a company employs 50 or more people and do not offer health care coverage, they will be liable for a shared responsibility with the government if their employees’ receive subsidized insurance.  

Deductibles and Co-Pays: Under PPACA, there will be the elimination of co-payments, co-insurance, and deductibles for specific insurance benefits which are defined under the essential benefits package under the Level A and Level B preventive care.     

Navigating the Insurance Waters

There are many new changes on the insurance horizon. Now more than ever, it is important to understand and maneuver within these changing times. Here, at Linton and Associates, we have navigated these waters for you and stand by to be your health care advocate.

We would be happy to discuss the provisions of the Patient Protection and Affordable Care Act with you. You can also find more in-depth information at http://www.blogger.com/www.healthcare.gov%20 . Let our associates serve as your guide to understanding the Affordable Care Act. We can be reached at 505.247.1530 or you can email us at info@lintonandassociates.com.