Key Components Of Affordable Care Act
Key Components of Affordable Care Act
Mary Kaiser
HCS/455
March 16, 2015
Doris Chimera
Key Components of Affordable Care Act
The discussion for this paper addresses key elements of the Affordable Care Act. These areas include the following requirements for implementing this act among employers, employees on benefits and drawbacks of health insurance coverage. These areas will include coverage for the individual, businesses, expansion of coverage and what and who is covered under these types plans.
Individual Coverage
The first component addresses that U.S. citizens and legal residents are required to have health coverage. If these persons do not have health coverage, they will pay a penalty either per individual or income for each family. These penalties will vary each year and according to their income along with the cost of living. Exemptions will be given to individuals or families who have financial hardship, are without coverage for less than three months and individuals whose income is below a certain tax threshold (www.hhs.gov, 2014).
Employer Requirements
Employers who have more than 50 employees and does not offer coverage, but also has at least one employee who is receiving a tax credit of $2,000 will receive a tax credit. Employers who provide insurance coverage to 50 or more employees and has at least one full-time employee will receive a tax credit but will pay $3,000 for per employee receiving the credit of $2,000. These policies will exclude the first 30 employees from this type of assessment. Meaning that employers with 50 or more employees will be exempt from the penalties implied. Employers who have more than 200 employees will automatically be enrolled in an insurance plan.
Expansion of Public Programs
Expanding Medicaid to individuals under the age of 65 with incomes based on their adjusted gross income, such as pregnant women, children and adults without dependent children. Since the HHS is not enforcing the expansion of Medicaid, it
Mary Kaiser
HCS/455
March 16, 2015
Doris Chimera
Key Components of Affordable Care Act
The discussion for this paper addresses key elements of the Affordable Care Act. These areas include the following requirements for implementing this act among employers, employees on benefits and drawbacks of health insurance coverage. These areas will include coverage for the individual, businesses, expansion of coverage and what and who is covered under these types plans.
Individual Coverage
The first component addresses that U.S. citizens and legal residents are required to have health coverage. If these persons do not have health coverage, they will pay a penalty either per individual or income for each family. These penalties will vary each year and according to their income along with the cost of living. Exemptions will be given to individuals or families who have financial hardship, are without coverage for less than three months and individuals whose income is below a certain tax threshold (www.hhs.gov, 2014).
Employer Requirements
Employers who have more than 50 employees and does not offer coverage, but also has at least one employee who is receiving a tax credit of $2,000 will receive a tax credit. Employers who provide insurance coverage to 50 or more employees and has at least one full-time employee will receive a tax credit but will pay $3,000 for per employee receiving the credit of $2,000. These policies will exclude the first 30 employees from this type of assessment. Meaning that employers with 50 or more employees will be exempt from the penalties implied. Employers who have more than 200 employees will automatically be enrolled in an insurance plan.
Expansion of Public Programs
Expanding Medicaid to individuals under the age of 65 with incomes based on their adjusted gross income, such as pregnant women, children and adults without dependent children. Since the HHS is not enforcing the expansion of Medicaid, it
References: The Henry J. Kaiser Family Foundation (2013). Focus on Health Reform – Summary of the Affordable Care Act. Retrieved from: www.kff.org. U.S. Department of Health & Human Services (2014). What is the Affordable Care Act? Retrieved from: www.hhs.gov.