How Does Obamacare Insurance Plan Work for Me?
Obamacare Insurance Plan is also known as, The Affordable Care Act (ACA). It is a form of national health insurance. This Act mandates that everyone have a health insurance, or they will receive penalization. It provides certain subsidies for families with middle-class income. Furthermore, it expands Medicaid to poorer families. Last but not the least, it helps small business offer health insurance program to their employees. However, The Tax Cut and Jobs Act, 2018, has repealed the health insurance mandate from ACA.
Original Working Model of Obamacare Insurance
The Obama health care plan pays for its subsidies by imposing a tax on dome healthcare providers and high-income families. Additionally, Medicare pays the doctors for quality of their healthcare, instead of a specific fee for a specific service. This way, the ACA would not have added to the national debt.
Original purpose and motivation behind Obamacare Insurance Plan is to lower the healthcare costs and increase its quality for the Americans. Former President Obama wanted this program because the cost for healthcare was becoming too expensive for an average citizen.
Before ACA. A majority of the U.S. budget was earmarked to finance healthcare for uninsured Americans. Admittedly, the ACA may have caused an increase in the healthcare costs. However, it was designed to reduce them overtime. It is done in two ways;
1. Obamacare Insurance allows the parents to add their children to their policies until the age of 26. The intent behind this clause is encourage younger and healthier people pay the premiums. The added revenue will contribute in reduction of healthcare costs for everyone else.
2. Obamacare Insurance has expanded the Medicaid. It allows the poor people to receive appropriate treatment for their chronic illnesses, instead of using the emergency room. Because of the ACA, many low-income Americans received the preventive care for the first time in their lives.
The Obamacare prices have a subsidy on prescriptions for Medicare users. It allows the Seniors to easily afford their medication. The ACA would have reduced healthcare costs by increased national participation.
How the Health Insurance Exchanges Work
Health insurance plans are generally sold on health insurance exchanges. Typical enrollment period is from 1st November, 2019 to 15th December, 2019 for the 2020 coverage. You can compare the health plans to see if you qualify for better tax credits, or subsidies. Similarly, you can use this comparison to see if you are eligible for the expanses Medicaid. You can get access to the Medicaid throughout the year.
Each health insurance exchange works in a four-step process;
- Create the Account. Answer several questions to confirm verification of your identity.
- Provide your SSN and income information. Your qualification for better tax credits depends on this information.
- There are four categories called; Bronze, Silver, Gold, and Platinum. Each plan has a different premium rate, deductibles, and co-pays.
- Enroll in the preferred plan.
The Federal Government is responsible for managing exchanges in almost half the States. The remaining States create their own exchanges, or they form a partnership with the Federal Government. These exchanges allow you to make appropriate comparison between physicians, hospitals, and many more services.
How the Obamacare Insurance Affects You
ACA is a very dividing issue for the Americans. Many people sing its praises after accessing its benefits. On the other hand, many decry against it after getting hit with the disadvantages.
One thing you can be sure of, no insurer will turn you away because of health or age. As a subscriber to this policy, you will receive the financial help if you require it.
Additionally, your company’s health plan is valid under ACA guidelines. You can avail the healthcare insurance through your workplace. You also have freedom of comparison between plans. This way, you can choose the better plan through exchanges.
Individual Plan in ACA
You always have the option of purchasing individual healthcare plans that meet the Obamacare plans guidelines. You must make a comparison between different plans. This will allow you to purchase cheaper plans. Moreover, you might even qualify for subsidies, if you buy your policy through the exchange.
Catastrophic Plans in ACA
Catastrophic insurance is a specialty insurance. It is only available in certain circumstances. Therefore, it is better if you shop for a full coverage plan. You might not get the catastrophic insurance back, if you give it up. Additionally, it is legal requirement that all insurances purchased after 2013 meet the required minimum benefits under ACA.
Obamacare Insurance Effects on Medicare, Medicaid, and Other Plans
All Tricare, Medicare, and Medicaid programs are acceptable under the Obamacare Insurance Plan. It also helps fill the infamous ‘doughnut holes’ in Medicare Part D.
Effects of Not Acquiring Health Insurance in 2020
Earlier iteration of the ACA penalizes people for not acquiring the health insurance. However, as of 2019, there are no penalties for such actions. The tax credits can reduce you monthly payments for the marketplace plan. You can qualify for them if your income falls between 100% and 400% of the federal poverty level (FPL). Moreover, you may even receive reduced co-payments, and deductibles.
Safeguard Yourself and Your Family with the Best Obamacare Insurance Plan in Texas
SG Financial Inc. can provide you the Best Obamacare Insurance in Plano, Texas. Some younger, healthier people decide to not acquire the coverage. As a result, this action can cause unnecessary headache and danger in the future. You may not require it at the moment; however, an injury can quickly change that. Remember, the average emergency room visit is $1,265, while a broken leg can cost twice as much. Moreover, Cancer treatment can cost $30,000 on average. The cost of chemotherapy alone is $7,000. Similar to homeowner’s or car insurance, health insurance can protect your life savings.