We all know that President Obama just signed a new bill relating to healthcare reform. This bill has been the subject of heavy controversy since it was first discussed. While many people support the new bill 100%, some think it was a huge mistake and others are simply unsure how the changes will affect their healthcare coverage. In this article, we wanted to address one of the questions that people are asking – how will the healthcare changes for the uninsured play out.
In this article, we wanted to address this issue of healthcare changes for affluent families to determine what, if any impact there will be. When looking at the details of the new healthcare reform that was just signed into law by President Obama does appear to attack economic inequality. With the number of wealthy people on the rise over the past 30 years, you can imagine the concerns this has raised.
One of the changes seen has to do with employed parents. Prior to the bill being passed, adult children could only stay covered on the parent’s insurance until age 18 or 21 if in college full-time. However, with the new law, adult children can now remain on the parent’s policy until age 26. Obviously, this would help in many situations, especially children finishing out college.
The truth is that for anyone making more than $250,000 a year, a large portion of the money needed for this new healthcare bill comes from them. This means that healthcare changes for affluent families will be specific to payroll taxes.
One of the changes seen has to do with employed parents. Prior to the bill being passed, adult children could only stay covered on the parent’s insurance until age 18 or 21 if in college full-time. However, with the new law, adult children can now remain on the parent’s policy until age 26. Obviously, this would help in many situations, especially children finishing out college.
One way in which the healthcare changes for the uninsured will work is that Medicaid programs will be expanded.
Now, healthcare coverage changes for the employed, specifically to those in business for themselves and small businesses will start in 2014. At that time, people who are self-employed and with employees that do not have insurance coverage would have the opportunity to choose a plan through an insurance exchange. This means that some 25 million people would not have the chance to purchase insurance coverage and 60 would qualify for assistance with the premiums.
For instance, families with an income of $88,000 and less a year will be provided with more affordable healthcare options. In this case, monthly healthcare insurance premiums will have a cap that ranges from 2% to 9.5%, depending on total income. Previously, no cap existed so this is a major change. Another way in which healthcare changes for the uninsured will be different is that young adults will have the option of remaining on the parent’s insurance to the age of 26, another big change.
One of the healthcare changes for the uninsured that everyone is having trouble with is the fines. If a person refused to purchase health insurance, an annual penalty of $95 would be due in the year 2014. However, probably one of the best changes that came out of President Obama’s new bill is that people with pre-existing conditions cannot be denied coverage.
All of these new healthcare regulations will go into effect starting 2014 for adults but for children, they start six months to the day that the new Healthcare Reform Coverage was signed.
Do you need Catastrophic Health Insurance see how changes in the health care affect you Healthcare GDP: Healthcare is Now One-Sixth of US GDP