pros and cons of obamacare
Simply put, it is a fact that obamacare or the Affordable Care Act of
2010 will have a wide impact with long-term ramifications for millions of
The healthcare act or "Obamacare" as many taut, was designed to
lower the healthcare, and increase the access for millions of uninsured
citizens and legal residents of the United States.
Below are some KEY obamacare pros and cons to help you
understand and identify opportunities within the law.
Although Healthcare Reform has been in effect for the last two years, it
is January 1st 2014 when millions of uninsured will be able to obtain
coverage through the newly created Health Benefit Exchanges or
Healthcare coverage state markets. For those that are still unsure of
when does obamacare start, it’s important to note that some
When Does Obamacare Start
OBAMACARE PROS AND CONS |
PROS AND CONS OF OBAMACARE: PROS
#1 Increased Access to Healthcare:
Over 32 million US Citizens and legal residents who are
not covered by health insurance currently will either
have coverage or will get the coverage they need
starting in 2014.
This includes: millions of young adults between the
ages of 19 through 25 who are now able to be added
to their parents' plans. Many of these young adults are
currently working but don't make enough to afford to
pay for health benefits.
#2 Individuals with pre-existing medical conditions
Health Plans will no longer be able to be denied coverage to those
people who currently suffer from a pre-existing condition.
In addition, Health Insurance companies will no longer be able to drop
plan members once they develop a sickness
#3 Government help to purchase health insurance (subsidy). The Federal
government will increase the elegibility of people that can qualify to
Medicaid (Medi-Cal in California) by the Medicaid expansion which
allows people upto 138% of Federal Poverty Level (FPL) to qualify for
Medicaid. Also, financial help will be available to those who are within
the 139-400 of FPL. That simply means that if your income is not high
enough you will receive a subsidy to help you pay for your healthcare
#4 Reduced the cost of healthcare.
According to the calculations of the CBO, the cost of healthcare can be
reduced. Since the Affordable Care Act ensures that 95 percent of US
Citizens and legal residents have health insurance coverage,
preventative healthcare will be more accessible. It is The newly insured
will no longer have to wait until their ailments become so extreme that
they are forced to visit the hospital emergency room, a more costly care
#5 Reduced budget gaps.
The Congressional Budget Office (CBO) estimates that the PPACA will
reduce the national budget deficit by $143 billion by 2019 because of
the Act's associated taxes and fees. In addition, the CBO believes that
the Medicare "donut hole" gap in coverage will be eliminated by 2020.
#6 Higher taxes, lower deductions.
Americans who don't pay for insurance and don't qualify for Medicaid
will be assessed a tax of $95 (or 1 percent of income, whichever is
higher) in 2014. The tax will increase substantially to $325 (or 2 percent of
income) in 2015, and $695 (or 2.5 percent of income) in 2016. Individuals
with annual incomes above $200,000 and couples with incomes above
$250,000 will pay higher taxes to help cover costs of the program. And, in
2014, families can only deduct medical expenses that exceed10
percent of income, rather than today's 7.5 percent of income. For details,
see: What Obamacare Means for Taxes.
OBAMACARE PROS AND CONS |
PROS AND CONS OF OBAMACARE: CONS
#1 Shortage of healthcare professionals.
A new study by the National Monitor predicts that the implementation of
the PPACA, coupled with the nation's aging population, could lead to a
shortage of 52,000 primary care physicians by 2025. This could leave
millions of Americans without access to healthcare. The study also noted
that office visits to primary care physicians will likely increase from 462
million to 565 million by 2025, further straining the system.
#2 Higher drug costs.
Pharmaceutical companies will pay an extra $84.8 billion in fees over the
next ten years to pay for closing the "donut hole" in Medicare. This could
raise drug costs if they pass these fees on to consumers.
To learn more about the Affordable Care Act and its potential impact,
we encourage you to visit Healthcare.gov to examine additional facts
and review the government's roll out timeline extending through 2014.
please support our sponsors
Other Topics about Obamacare