Obamacare for Dummies (a simple list) | Obamacare Envoy

Obamacare for Dummies (a simple list)

Here is a cheat sheet on what the Obamacare (PPACA) means in laymen’s terms:

Already in effect: 

  • No far more “pre-existing conditions” for youngsters under the age of 19. 
  • A limit is placed on just how much of the percentage of the income an insurer makes can be profit, to produce sure they’re not price-gouging customers. 
  • A new internet site is created to give men and women insurance and health information.
  • It allows the Food and Drug Administration to approve far more generic drugs (making for more competition in the industry to drive down prices) 
  • It increases the rebates on drugs individuals get via Medicare (so drugs cost less) 
  • It creates a non-profit group, which the government doesn’t directly control, to understand several varieties of treatments to see what works far better and stands out as the greatest use of money. 
  • It creates chain restaurants like McDonalds display calories in all of their foods, so folks can have an simpler time finding alternatives to consume healthy. 
  • It creates a “high-risk pool” for individuals with pre-existing conditions. Basically, this really is a method to slowly ease into getting rid of “pre-existing conditions” altogether. For now, those who already have health issues that would be regarded “pre-existing conditions” can nonetheless get insurance, but at numerous rates than individuals with no them. 
  • It renews some old political policies, and calls for the appointment of many new governmental positions. 
  • It puts a new 10% tax on indoor tanning booths. 
  • It says that health insurance businesses can no longer tell customers that they won’t get any additional coverage since they’ve hit a “lifetime limit”. Basically, if an individual has paid for health insurance, that company cannot tell that Individual that he’s employed that insurance as well a lot throughout his life so they won’t cover him any more. They can’t do this for lifetime spending, and they are limited in how much they can do this for yearly spending. 
  • Kids can continue to become covered by their parents’ health insurance until they’re 26. 
  • Insurers will have less opportunity to change the prices customers pay for their insurance. 
  • People inside the “Medicare Gap” scenario, get a rebate to “true”up for the extra income they would otherwise have to spend. 
  • Insurers can not just drop consumers as soon as they get sick. 
  • Insurers need to tell customers what they are spending money on. (Instead of just “administrative fee”, they’ve being more specific). 
  • Insurers need to have an appeals method for once they turn down a claim, so consumers have some manner of recourse other than a lawsuit as soon as they are turned down. 
  • New ways to stop fraud are created. 
  • Medicare extends to smaller hospitals.
  • If you make over $200,000 a year, your taxes go up a small bit (0.9%). Edit: To address people who take in dilemma on the term “tiny”, a adjust of 0.9% is relatively tiny. Any contemplate how taxes have fluctuated over the many years will reveal that a improve of a smaller amount than one percent is miniscule, especially once we’re talking about individuals inside the top 5% of earners.
  • Medicare patients with chronic illnesses must be monitored far more thoroughly. 
  • Reduces the prices for some businesses that handle benefits to the elderly.  
  • A credit process is created that will make it easier for corporations to purchase new methods to treat illness. 
  • A limit is placed on what type of insurance accounts can be used to acquire over-the-counter drugs without a prescription. Basically, your insurer just isn’t paying for the Aspirin you bought for the hangover.
  • Employers must list the benefits they provided to employees on their tax forms. 
  • Any health plans sold right after this date have to provide preventative care (mammograms, colonoscopies, etc.) without requiring any kind of co-pay or charge.

January 1, 2014

This is when the rubber meets the road. 

  • Small companies get some tax credits for two years. 
  • The amount you are able to deduct from your taxes for medical expenses increases.
  • Insurers now can’t do annual spending caps. Their clients can get as much health care inside a given year as they need. 
  • No more “pre-existing conditions”. At all. Persons will likely be charged the exact same regardless of their medical history.
  • Insurers now can’t do annual spending caps. Their clients can get as much health care inside a given year as they need. 
  • Make it so more poor folks can get Medicaid by making the low-income cut-off higher.
  • Businesses with more than 50 employees need to provide health insurance to full-time employees, or pay a penalty. 
  • Limits how high of an annual deductible insurers can charge customers. 
  • Cut some Medicare spending 
  • Place a $2500 limit on tax-free spending on FSAs (flexible spending accounts). Persons utilizing these accounts now must pay taxes on any cash over $2500 they put into them. 
  • Establish health insurance exchanges and rebates to your lower and middle-class, basically making it so they have an simpler time owning affordable medical coverage. 
  • Congress and Congressional staff will only be out there the same insurance accessible to folks within the insurance exchanges, rather than Federal Insurance. Basically, we won’t be footing their health care bills any over any other American citizen. 
  • A new tax on pharmaceutical companies. 
  • A new tax on a purchase of medical devices. 
  • A new tax on insurance organizations according to their marketplace share. Basically, the additional from the marketplace they control, the more they’ll get taxed. If you can afford insurance but do not get it, you might be charged a fee. That is the “mandate” that folks are talking about. Basically, it’s a trade-off for the “pre-existing conditions” bit, saying that mainly because insurers now need to cover you regardless of what you have, you can not just wait to purchase insurance until you get sick. Otherwise no one would buy insurance until they required it. You may opt not to have insurance, but you’ll must pay the fee instead, unless of course you happen to be not buying insurance due to the fact you just cannot afford it. 
  • No more “pre-existing conditions”. At all. People will be charged the same regardless of their medical history. 
  • If you can afford insurance but do not get it, you will be charged a fee. This is the “mandate” that people are talking about. Basically, it’s a trade-off for the “pre-existing conditions” bit, saying that since insurers now have to cover you regardless of what you have, you can’t just wait to buy insurance until you get sick. Otherwise no one would buy insurance until they needed it. You can opt not to get insurance, but you’ll have to pay the fee instead, unless of course you’re not buying insurance because you just can’t afford it. 
  • Insurers now can’t do annual spending caps. Their customers can get as much health care in a given year as they need. 
  • Make it so more poor people can get Medicaid by making the low-income cut-off higher. 
  • Small businesses get some tax credits for two years. 
  • Businesses with over 50 employees must offer health insurance to full-time employees, or pay a penalty. 
  • Limits how high of an annual deductible insurers can charge customers. 
  • Cut some Medicare spending 
  • Place a $2500 limit on tax-free spending on FSAs (accounts for medical spending). Basically, people using these accounts now have to pay taxes on any money over $2500 they put into them. 
  • Establish health insurance exchanges and rebates for the lower and middle-class, basically making it so they have an easier time getting affordable medical coverage. 
  • Congress and Congressional staff will only be offered the same insurance offered to people in the insurance exchanges, rather than Federal Insurance. Basically, we won’t be footing their health care bills any more than any other American citizen. 
  • A new tax on pharmaceutical companies. 
  • A new tax on the purchase of medical devices. 
  • A new tax on insurance companies based on their market share. Basically, the more of the market they control, the more they’ll get taxed. 
  • The amount you can deduct from your taxes for medical expenses increases. 

January 1, 2015 

  • Doctors’ compensation determined by the quality of their care, not how by many people they treat. 

January 1, 2017

  • If a state can come up with their own plan, 1 which gives citizens the exact same level of care at the exact same price as the PPACA, they are able to ask the Secretary of Health and Human Resources for permission to complete their plan instead of the PPACA. So if they can get the same outcomes without the mandate, they can be allowed to try and do so. 

2018 

  • Plans must all now cover preventative care (new AND existing) A new tax on “Platinum” plans.

2020 

  • The “Medicare gap”  get eliminated

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