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obamacare what is it

by Jaleel Pfannerstill Published 1 year ago Updated 8 months ago
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What is “Obamacare”?

08/08/2014 · ObamaCare is a nickname for The Patient Protection and Affordable Care Act (sometimes called the Affordable Care Act, ACA, or PPACA for short), a health reform law signed on March 23, 2010, by President Barack Obama.

What do you need to know about Obamacare?

Obamacare is the nickname for the Affordable Care Act. Signed into law by then-president Barack Obama in 2010, the ACA was his signature legislation.

What is the Affordable Care Act (Obamacare)?

04/01/2022 · Obamacare – aka the Patient Protection and Affordable Care Act (or Affordable Care Act) – was signed into law by President Barack Obama in 2010.

What is Obamacare and how does it affect me?

21/01/2022 · Obamacare Open Enrollment Period. The Open Enrollment Period (OEP) is the time when you can shop for a new health insurance plan for the upcoming year. The federal OEP for 2022 plans will run from November 1, 2021 to December 15, 2021 for coverage starting January 1, 2022 and remain open until January 15, 2022. If you do not enroll in a plan during the OEP, you …

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What is Obamacare 2020?

Updated September 17, 2020. Obamacare is an alternative term for the Patient Protection and Affordable Care Act (ACA) of 2010. The aim with this plan was to make health care more affordable for everyone by lowering costs for those who can't afford them.

How does Obamacare work?

The ACA's primary goal was to slow the rising cost of health care by taking steps to make health insurance more available and more affordable to those who need it the most. The act also required everyone to carry health insurance or pay a tax penalty.

Who is Thomas Brock?

Thomas Brock is a well-rounded financial professional, with over 20 years of experience in investments, corporate finance, and accounting. Obamacare is an alternative term for the Patient Protection and Affordable Care Act (ACA) of 2010.

Does Obamacare affect health insurance?

Most people think it only affects health insurance, but it has changed the way the U.S. delivers health care overall. The term "Obamacare" was first coined by critics of the former president's efforts to reform health care, but then, the name stuck.

What are the essential services of Obamacare?

Under the ACA, insurance plans must allow parents to include their children on their plans up to age 26 and provide 10 essential services: Preventive and wellness visits, including chronic disease management. Maternity and newborn care. Mental and behavioral health treatment.

Does the ACA extend Medicaid?

The ACA also aims to make health insurance more affordable for those with the lowest incomes by subsidizing the cost. Medicaid was extended to those who earn up to 138% of the federal poverty level. 2  But, as of 2020, 14 states have elected to not expand Medicaid, limiting accessibility for their residents.

What is the ACA's aim?

The plan's aim was to make health care more affordable for everyone by lowering costs for those who can't afford them. Under the ACA, the law required parents to include their children on their plans up to age 26. The ACA mandated that insurance companies include 10 necessary benefits.

What is Obamacare?

Obamacare is the nickname for the Affordable Care Act. Signed into law by then-president Barack Obama in 2010, the ACA was his signature legislation. It was meant to form the framework for transforming the messy and inefficient U.S. healthcare system into something that worked better.

Was Obamacare a Republican law?

Although it enshrined many Republican ideas for transforming health care, GOP members in Congress rejected it and the law was passed without a single Republican vote. Opponents nicknamed it “Obamacare” as a derisive term, but the Obama White House decided to embrace the name.

Is the individual mandate constitutional?

In a landmark 2012 ruling, the court ruled that the law’s individual mandate, requiring everyone to have health insurance or pay a fine, was constitutional. Chief Justice John Roberts wrote a compromise calling the fine a tax, which made it legal.

What are the benefits of Obamacare?

ACA-compliant plans come with a long list of benefits – embodied in Obamacare’s essential health benefits (EHB). Under the Affordable Care Act, all individual and small-group major medical plans must include coverage of the following EHBs: 1 hospitalization 2 ambulatory services 3 emergency services 4 maternity and newborn care 5 services for those suffering from mental health disorders and problems with substance abuse 6 prescription drugs (including brand-name drugs and specialty drugs) 7 lab tests 8 chronic disease management, “well” services and preventive services, including vaccinations ( certain preventive services are covered at no cost to the enrollee) 9 pediatric dental and vision care for children 10 rehabilitative and “habilitative” services which include helping a person keep, learn or improve functioning for daily living.

What are the provisions of the Affordable Care Act?

The ACA’s affordability provisions. The Affordable Care Act included major provisions designed to make comprehensive health coverage affordable to Americans who struggled to pay for coverage prior to the ACA. Chief among those provisions:

How many pages are there in the Affordable Care Act?

The law included more than 1,000 pages of provisions intended to make coverage affordable for and accessible to millions of Americans who struggled to pay for individual coverage – many of whom could not buy individual coverage at any price due to pre-existing medical conditions.

When was Obamacare signed into law?

Key takeaways. Obamacare – aka the Patient Protection and Affordable Care Act (or Affordable Care Act) – was signed into law by President Barack Obama in 2010. The law included major provisions intended to make health coverage on the individual market more affordable – including subsidies (which have been enhanced by the American Rescue Plan) ...

Who is not eligible for premium subsidies?

Americans not eligible for premium subsidies include individuals whose employer offers comprehensive “affordable” coverage, those who are eligible for Medicaid, Medicare, or another government program, and individuals who are incarcerated or not legally present in the US.

Is the American Rescue Plan a tax credit?

The premium subsidies – which are actually tax credits – offset the cost of premiums for any metal-level ACA-compliant health plan available through an ACA marketplace.

What is the 80/20 rule?

Obamacare established the Medical Loss Ratio – the 80/20 Rule – which forced health insurance companies to devote more premium dollars to medical care for policyholders, as opposed to administrative costs. When insurers don’t meet these requirements, they have to issue refunds to policyholders.

What are the benefits of Obamacare?

The specific coverage you receive with your plan under Obamacare will vary based on the plan you choose. However, the act has required coverage for some medical services, including: 1 Preventative care 2 Emergency care 3 Outpatient care when you are not admitted to the hospital 4 Hospitalization 5 Pregnancy and newborn care 6 Services for mental health and substance use disorders 7 Rehabilitative services 8 Pediatric care 9 Laboratory services

What was the Obamacare Act?

The act was a major overhaul of the U.S. healthcare system, reducing the amount of uncompensated care the average family pays for. Obamacare originally required everyone to have health insurance and offered cost assistance to those who could not afford a plan on their own.

How do I purchase eHealth insurance?

You may purchase your insurance plan through a phone call, chat, or online, with certified licensed brokers in every state.

When will OEP 2021 start?

The OEP for 2021 plans will run from November 1, 2020 to December 15, 2020. If you do not enroll in a plan during the OEP, you may not be able to purchase ACA-compliant coverage unless you experience a qualifying event, such as: Loss of a job. Move to a new coverage area.

Is the repeal of the Affordable Care Act still in effect?

This repeal is still in effect in 2020, eliminating the fine for those without health insurance plans in most states. A few states do have their own mandates in 2020, including California, Connecticut, Hawaii, Maryland, Minnesota, Rhode Island, and Washington. Click here to find health insurance plans in your state.

Does Obamacare have subsidies?

When you enroll in a health insurance plan, you typically pay a monthly premium to keep that plan. Obamacare includes subsidies to help lower income individuals cover the cost of their plans . These subsidies, also known as tax credits, are still in effect in 2020.

Has the Trump administration cut deductibles?

The Trump administration has cut those payments, although the law currently requires companies to continue to keep deductibles low. At this time, you may still apply for a subsidy to lower the cost of health insurance for you and your family. Finding the right insurance plan at the right price is easier with eHealth.

What is the meaning of the ACA?

King v. Burwell. California v. Texas. The Affordable Care Act ( ACA ), formally known as the Patient Protection and Affordable Care Act, and colloquially known as Obamacare, is a United States federal statute enacted by the 111th United States Congress and signed into law by President Barack Obama on March 23, 2010.

How much was the Affordable Care Act tax in 2015?

Excise taxes from the Affordable Care Act raised $16.3 billion in fiscal year 2015. $11.3 billion came from an excise tax placed directly on health insurers based on their market share. Annual excise taxes totaling $3 billion were levied on importers and manufacturers of prescription drugs.

When was the 1099 Act signed into law?

Signed into law by President Barack Obama on March 23, 2010. Major amendments. Health Care and Education Reconciliation Act of 2010. Comprehensive 1099 Taxpayer Protection and Repayment of Exchange Subsidy Overpayments Act of 2011. Public Law 115-97 proposed as the Tax Cuts and Jobs Act of 2017.

Does the ACA reduce the deficit?

The CBO reported in multiple studies that ACA would reduce the deficit, and repealing it would increase the deficit, primarily because of the elimination of Medicare reimbursement cuts.

What is the Cadillac tax?

ACA includes an excise tax of 40% (" Cadillac tax ") on total employer premium spending in excess of specified dollar amounts (initially $10,200 for single coverage and $27,500 for family coverage) indexed to inflation. This tax was originally scheduled to take effect in 2018, but was delayed until 2020 by the Consolidated Appropriations Act, 2016. Excise taxes totaling $3 billion were levied on importers and manufacturers of prescription drugs. An excise tax of 2.3% on medical devices and a 10% excise tax on indoor tanning services were applied as well.

When did the ACA come into effect?

The ACA's major provisions came into force in 2014.

What is MSSP in healthcare?

Main article: Accountable care organization. The Medicare Shared Savings Program (MSSP) was established by section 3022 of the Affordable Care Act. It is the program by which an accountable care organization interacts with the federal government, and by which accountable care organizations can be created.

What is ObamaCare?

ObamaCare, or the Patient Protection and Affordable Care Act (PPACA), often called the Affordable Care Act (ACA) acts as a reform to the health insurance industry. The PPACA is over a thousand pages long and in those pages, there are rights and protection written for every American.

10 Important Health Benefits of ObamaCare

All Qualified Health Insurance Plans simply must include the following benefits:

ObamaCare Myths

One of the most popular ObamaCare myths is that it creates health insurance. Well, ObamaCare does not create health insurance, it simply regulates the health insurance industry and works towards increasing the affordability, availability and quality of private insurance.

What happens if you don't sign up for Obamacare?

If you don’t sign up within your approved window, then you’ll have to pay the penalty fee for not getting coverage. (This article was last updated on October 10, 2014) Americans have been inundated with information about the Affordable Care Act, or Obamacare, since President Obama signed it into law on March 23, 2010.

What is advance premium tax credit?

Subsidies, also known as advance premium tax credits, make it possible for low- to middle-income people to pay for health insurance. The amount that you receive in subsidies is based on your proximity to the federal poverty level. You can earn between 100 and 400 percent of the FPL and qualify for assistance.

How long do you have to have health insurance to avoid penalty?

In other words, you need to have health insurance for at least nine months of the year to avoid the penalty. Special Exemptions.

Can you be denied health insurance?

You cannot be denied health coverage because you have a pre-existing health condition. A health insurance company cannot cancel your plan just because you got sick. A health insurance company cannot deny you coverage just because you already had a certain amount of claims submitted in a year or in your lifetime.

What is a rehabilitative service?

Rehabilitative and habilitative services and devices, which means therapies that are needed to regain a function or skill that was lost due to something like a stroke or that should be there but isn’t because of a disease like autism.

How often is the tax assessed for insurance?

The tax is assessed for every month in the year that you are without insurance and not approved for an exemption. For instance, if you are without insurance for half of the year, you will be assessed half of the total tax penalty. If you are not insured for three months or less you will not be taxed.

Can health insurance companies discriminate against you?

Health insurance companies cannot discriminate against you or raise your rates because of your gender, race, financial situation, medical history or a disability. In addition to the above requirements, the Obamacare law also told insurance companies that they must pay for certain claims for every customer.

What is Obamacare?

The official name for “ ObamaCare ” is the Patient Protection and Affordable Care Act (PPACA), or Affordable Care Act (ACA) for short. The ACA was signed into law to reform the health care industry by President Barack Obama on March 23, 2010 the and upheld by the Supreme Court on June 28, 2012. Despite some subsequent court battles ...

When was the Affordable Care Act signed into law?

The History of the ACA. The Affordable Care Act was signed into law by President Barack Obama on March 23, 2010. The ACA was amended by the Health Care and Education Reconciliation Act on March 20th, 2010.

Is the Affordable Care Act still in effect?

Despite some subsequent court battles and changes to the law, the Affordable Care Act is still “the law of the land ” today. That means all the benefits, rights, and protections discussed below are still in effect. FACT: Under the Affordable Care Act the uninsured rate fell to the lowest rate in recent history.

Does Obamacare replace Medicare?

Learn more about how cost assistance works with the Affordable Care Act. FACT: ObamaCare does not replace private insurance, Medicare, or Medicaid/CHIP. If you have Medicare or Medicaid/CHIP, you don’t need to worry about open enrollment and marketplace plans. You are considered to have Minimum Essential Coverage.

Is Medicare part of the Marketplace?

Learn about how the Affordable Care Act affects Medicare. Medicare isn’t part of the Health Insurance Marketplace. If you have Medicare, keep it.

Is the Affordable Care Act unconstitutional?

Currently, the fate of the ACA is somewhat uncertain as a Texas federal judge ruled the Affordable Care Act (Obamacare) unconstitutional on Dec 14 2018. In late March the DOJ then affirmed their support for the ruling. For now nothing changes as the appeals process plays out.

Is Obamacare still the law of the land?

For now, despite the changes, ObamaCare is still “the law of the land.”. Learn more about the 2018 ObamaCare ruling. FACT: ObamaCare is a nickname for a healthcare law signed by President Obama in 2010 called the Patient Protection and Affordable Care Act (PPACA).

Why was the ACA created?

The ACA was also designed to protect consumers from insurance company tactics that might drive up patient costs or restrict care. Millions of Americans have benefitted by receiving insurance coverage through the ACA. Many of these people were unemployed or had low-paying jobs.

What happens if you are uninsured and don't get an exemption?

If you’re uninsured and don’t obtain an exemption, you must pay a modest fine. Recent events have changed this fine, and beginning with the tax year 2019 it will be eliminated. Some people think it’s intrusive for the government to require health insurance.

How many hours per week is considered full time?

By reducing hours, businesses are able to get by the 30-hour-per-week definition of a full-time employee.

Does insurance cover preexisting conditions?

Insurance companies now provide a wider range of benefits and cover people with preexisting conditions. This has caused premiums to rise for a lot of people who already had health insurance.

Why are businesses cutting hours?

Businesses are cutting employee hours to avoid covering employees. Opponents of Obamacare claimed the legislation would destroy jobs. The number of full-time jobs has gone up in recent years, but there are still reports of businesses cutting hours from employee schedules.

What taxes were passed to help pay for the ACA?

Several new taxes were passed into law to help pay for the ACA, including taxes on medical device and pharmaceutical sales. Taxes were also increased for people with high incomes. Funding also comes from savings in Medicare payments. The wealthy are helping to subsidize insurance for the poor.

Will the ACA change?

Changes in the healthcare field, along with changes to the political makeup of future presidential administrations and Congress, make it likely that the ACA will continue to change for years to come.

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Overview

The Affordable Care Act (ACA), formally known as the Patient Protection and Affordable Care Act, and colloquially known as Obamacare, is a United States federal statute enacted by the 111th United States Congress and signed into law by President Barack Obama on March 23, 2010. Together with the Health Care and Education Reconciliation Act of 2010 amendment, it represents the U.S. he…

Provisions

ACA amended the Public Health Service Act of 1944 and inserted new provisions on affordable care into Title 42 of the United States Code. The individual insurance market was radically overhauled, and many of the law's regulations applied specifically to this market, while the structure of Medicare, Medicaid, and the employer marketwere largely retained. Some regulations applied to th…

Legislative history

ACA followed a long series of unsuccessful attempts by one party or the other to pass major insurance reforms. Innovations were limited to health savings accounts (2003), medical savings accounts (1996) or flexible spending accounts, which increased insurance options, but did not materially expand coverage. Health care was a major factor in multiple elections, but until 2009, neither par…

Impact

The law caused a significant reduction in the number and percentage of people without health insurance. The CDC reported that the percentage of people without health insurance fell from 16.0% in 2010 to 8.9% from January to June 2016. The uninsured rate dropped in every congressional district in the U.S. from 2013 to 2015. The Congressional Budget Officereported in March 2016 that ap…

Public opinion

Public views became increasingly negative in reaction to specific plans discussed during the legislative debate over 2009 and 2010. Approval varied by party, race and age. Some elements were more widely favored (preexisting conditions) or opposed (individual mandate).
In a 2010 poll, 62% of respondents said they thought ACA would "increase the …

Political aspects

The term "Obamacare" was originally coined by opponents as a pejorative. According to research by Elspeth Reeve, the expression was used in early 2007, generally by writers describing the candidate's proposal for expanding coverage for the uninsured. The term officially emerged in March 2007 when healthcare lobbyist Jeanne Schulte Scott wrote, "We will soon see a 'Giuliani-care' and 'Oba…

Criticism and opposition

Opposition and efforts to repeal the legislation have drawn support from sources that include labor unions, conservative advocacy groups, Republicans, small business organizations and the Tea Party movement. These groups claimed the law would disrupt existing health plans, increase costs from new insurance standards, and increase the deficit. Some opposed the idea of univer…

Implementation

In 2010 small business tax credits took effect. Then Pre-Existing Condition Insurance Plan (PCIP) took effect to offer insurance to those who had been denied coverage by private insurance companies because of a preexisting condition. By 2011, insurers had stopped marketing child-only policies in 17 states, as they sought to escape this requirement. In National Federation of Independent Business v. Sebeliusthe Supreme Court allowed states to opt out of the Medicaid e…

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