Affordable Care Act of 2010
In March 2010, President Obama signed the Patient Protection and Affordable Care Act
(the "Affordable Care Act") into law. While some provisions of the ACA have already
gone into effect (2013), a number of new provisions are scheduled to take effect January 1, 2014.
Although we do not intend this newsletter to be the answer-all to the ACA, we thought this
would be a good time to look at some of the provisions that might affect you.
The information is extensive, but the following links take you to pages on each specific topic.
Summary: Affordable Care Act Provisions (Effective January 1, 2014)
- Most Americans who can afford coverage will be required to purchase health insurance or pay a
tax penalty that starts at $95 ($285 per family) or up to 1% of income, whichever is greater.
- Up to 17 million Americans under age 65 could be eligible for Medicaid. States that choose to
expand their program will receive federal financial aid for the increased payment rates.
- Depending on which state you live in, you will have access to an Exchange administered by your state.
Health insurance exchanges will be known as “Marketplaces” where consumers can compare and
purchase health insurance. Four different options, called “Metal Plans” (Bronze, Silver, Gold, and Platinum),
will be offered through these Marketplaces. Subsidies and tax credits will be available based on age, income,
and geographic location.
- Starting in 2014, the law makes it illegal for any health insurance plan to use pre-existing
conditions to exclude, limit or set unrealistic premium rates on coverage for adults.
The requirement to cover children under age 19 for pre-existing conditions began in 2010.
- The provision that required employers with 50 or more workers to provide health care
coverage or face fines has been postponed until 2015.