Affordable Care Act

The comprehensive health care reform law enacted in March 2010 (sometimes known as ACA, The Affordable Care Act or “Obamacare”).

The law has 3 primary goals

  • Make affordable health insurance available to more people. The law provides consumers with subsidies (“premium tax credits”) that lower costs for households with incomes between 100% and 400% of the federal poverty level.
  • Expand the Medicaid program to cover all adults with income below 138% of the federal poverty level. (Not all states have expanded their Medicaid programs.)
  • Support innovative medical care delivery methods designed to lower the costs of health care generally.

How the health care law protects you

The cost of healthcare is consistently rising; so insurance protection is a must. Part of the benefit of having health insurance is the negotiated reduced and unallowable costs, typically 30 to 40%. Then based on your plan and premium, the insurance company takes the greatest risk of coverage. The costs of some typical medical procedures:

  • Open Heart Surgery – $324,000
  • Broken Arm – $12,000
  • Broken Leg – $20,000

Health insurance protects you from the impact of this increasing cost by limiting: 1) what insurance companies are “allowed” to charge and 2) your percentage of the allowed cost; so instead of paying $20,000 for a broken leg, you would only pay $2,000 depending on your plan.

If you would like a health insurance quote, please Contact Us