Affordable Care Act (ACA)

The Affordable Care Act (ACA) and the Patient Protection Act, was passed on March 23, 2010. The healthcare reform bill was signed to ensure that reasonably priced health insurance options are available to U.S. citizens. Health insurance options are regulated by a series of guidelines that aid in the development of healthcare programs on a federal level as well as federal subsidies.

Within the bill, there are a series of modifications that insurers have to apply. For example:

• New regulations and guidelines are integrated into the Affordable Care Act for health insurers.
• Whether or not applicants have pre-existing conditions, all applicants must be insured.
• Fixed rates for all applicants, regardless of pre-existing conditions, age, or gender.

Additionally, a Health Care Marketplace is provided by the Affordable Care Act to ensure that families or small businesses have shopping options for insurance policies. The Marketplace must provide all the requirements set forth by the Affordable Healthcare Act, which is another benefit for shoppers

The bill stipulates that regardless of health conditions, race, sex, or age, all states United States citizens are required to purchase healthcare insurance if they do not have one already. If United States citizens do not purchase health insurance, they are required to pay penalty of tax.

Advantages of the ACA

• The minimum standards of health insurance policies are regulated.
• Subsidies are supplied to smaller businesses on a transaction on the purchase of insurance.
• Co-pay requirements are removed as well as co-insurance and deductibles that are connected to preventative care.
• More people are included in Medicaid eligibility for lower-income brackets while offering aid in the form of subsidies.

In 2014, the majority of changes set for by the Affordable Care Act were implemented. While there was a trickle-down rate in the phases, it is forecasted that the phases will be fully implemented by the year 2020.

Summarily, the Affordable Care Act was passed with the intention of:

• Reducing the costs of health insurance while improving the quality of care and its availability.
• Reducing the amount of uninsured Americans while increasing restrictions on how much private insurance companies can charge for premiums based on a number of factors such as gender, age, race, and pre-existing conditions.
• Decreasing overall costs for governments and individuals in regards to healthcare.