What Does Health Reform Mean to You?

The Patient Protection and Affordable Care Act (ObamaCare)

A Better Health Care System?

  • A Better Health Care System?You will be required by law to have health insurance and to attach proof of insurance to your tax return.
  • If you fail to insure, you will be fined -- up to $695 ($2,085 per family) in 2016 or 2.5% of your adjusted gross income, whichever is greater.
  • If your emplyer doesn't offer insurance, your employer can be fined as much as $2,000 per employee per year.
  • A government agency, rather than you and your employer, will decide what kind of health coverage you must have.

For a more detailed analysis, go to www.ncpa.org/HealthReform

Where Will I Get Health Insurance?

You may get it at the same place you get it today -- through an employer or through Medicare or Medicaid. However. your coverage and benefits probably won't be the same. If you must buy your own insurance, you will have to obtain it through a government-regulated exchange, where competing insurers will offer the required insurance benefits.

Will I Be Able to Keep the Insurance I Now Have?

Possibly not.

Employers can drop your coverage altogether and pay a fine that costs as little as one-seventh the cost of insuring you and your family.

  • Fourteen million employees will lose their employer plan, according: to Medicare actuaries.
  • Although some plans may avoid costly regulations because they are "grandfathered," up to 80% of small businesses won't be able to keep their current plan.
  • Within three years, more than 100 million people will be forced into a health plan more costly and more regulated than the one they have today.

How Much Will My Health Insurance Cost?

How Much Will My Health Insurance Cost?Coverage in 2016 will average about $5,800 for all individual ($15,200 for a family of four), according to the Congressional Budget Office.

In the government-regulated exchange, the out-of-pocket premium will be limited to a percent of your income up to about $43,000 ($88,000 for a family of four). If you earn more, you will have to pay the full premium yourself.

There will be no new subsidies if you get insurance at work, but your premium may be limited to a percent of your income.

So, How Will My Employer or Health Insurer Know What My Income Is?

How Will My Employer or Health Insurer Know What My Income Is?The government will require you to show them your most recent tax return, revealing your total family income -- including any nonwage income as well as your spouse's income.

What Benefits Can I Expect?

  • Starting this year, all new health plans must provide mammograms, Pap smears and many other preventive services, with no copay or deductible.
  • Starting in 2014, many people will get government subsidies to buy insurance they could not otherwise afford.
  • If you have a pre-existing condition, you will be able 10 buy insurance tor the same premium people in good health pay.
  • If you have a very expensive, chronic health problem, there will be no lifetime limits on your health insurance coverage.
  • As many as 34 million people will become newly insured.

What Other Costs Can I Expect?

  • More than half the costs of the reform will be paid for by reduced spending on the elderly and disabled on Medicare.
  • What Other Costs Can I Expect?There will be new taxes on drugs and on such medical devices as wheelchairs, crutches, pacemakers, artiificial joints, etc.
  • A 40% tax on the extra coverage provided by expensive "Cadillac" plans will apply to about one-third of all private insurance in 2019, and it will eventually reach every health plan.
  • Scores of other items will be taxed, ranging from tanning salons to the sale of your home, in some cases.

There are also hidden costs:

  • Health insurers will have to raise premiums for everyone in order to charge those with pre-existing conditions less than the expected cost of their care.
  • Most employers will have to reduce what they pay in wages and other benefits in order to afford the required coverage.
  • The extra burden on employers could cost as many as 700,000 jobs by 2019.

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