The Affordable Care Act: Impact and Implications

The United States is currently facing increasing concerns regarding health care reform, as several issues have arisen. Originally, the government aimed to ensure that all citizens, regardless of their financial situation, would have access to affordable and high-quality health care. Due to the rising costs, many individuals desired a universal health care system similar to those found in neighboring countries. However, the manner in which this change was introduced has become the primary issue. There is now a possibility that Americans may not receive what they initially expected and that the overall cost could exceed initial estimates.

It is imperative to conduct comprehensive research on this matter.

I am interested in researching this economic policy because I have been hearing criticism from people I talk to, while also seeing some of my friends and family benefit from the Affordable Care Act. My goal is to gain a deeper understanding of what we have agreed to and the consequences of heavily regulating the healthcare industry, as well as any hidden motives behind this new policy.

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According to the U.S Department of Health & Human Services, "The Affordable Care Act was passed by Congress and then signed into law by the President on March 23, 2010. On June 28, 2012, the Supreme Court made a final decision to uphold the health care law" (2014). The implementation of this policy did not fully take effect until 2014 when it became mandatory to have insurance by April. The objective was to ensure that every American has health insurance; however, many individuals are unaware of how this new policy will impact us in the future.

It is now time to uncover both sides' perspectives on this ongoing debate - Policy Overview.

The Affordable Health Care Act is a recent policy aimed at enhancing the affordability of health care for citizens. Numerous Americans face difficulties in affording health insurance due to increasing prices and stagnant wages. The government has implemented laws and regulations to guarantee that all Americans have access to affordable health insurance. Individuals with higher incomes will make larger contributions, while those with lower incomes will pay less. Understanding the specific provisions for individuals, employers, and tax credits designed to assist with insurance costs is crucial.

President Obama signed the Patient Protection and Affordable Care Act on March 23, 2010. The law aims to comprehensively reform health care by expanding coverage, controlling costs, and improving the delivery system. By April 2014, all Americans must have health insurance under this law. Failure to comply with this requirement can result in penalty charges that may impact individuals for up to three years.

To avoid these penalties, citizens should visit the government marketplace and apply for affordable insurance. According to the Kaiser Foundation, individuals without coverage may face a tax penalty of either $695 per year (up to a maximum of $2,085 per family) or 2.5% of household income, whichever is greater. The penalty will be phased-in gradually starting at $95 in 2014 and increasing annually until it reaches $695 in 2016 or a percentage of taxable income.

Given these penalties, it is crucial for Americans not to neglect obtaining insurance.

Employers now have a responsibility to provide insurance based on the number of employees they have. This means that smaller businesses must offer healthcare coverage to their full-time staff, while employers with over 200 employees are required to automatically enroll employees into employer-offered health insurance plans. However, employees have the option to decline the coverage if they choose (Kaiser Foundation, 2014). As a result of this requirement for affordable healthcare coverage for full-time employees, some individuals opt for part-time employment in order to avoid providing benefits. Consequently, many Americans are worried about losing hours because their employers refuse to cover them.

The goal of expanding Medicaid is to offer greater support to those who cannot afford health insurance, such as pregnant women, children, and parents. This expansion also includes individuals under 65 years old who are not eligible for Medicare, ensuring that all newly eligible adults receive a benchmark benefit package that meets essential health benefits provided by the Exchanges (Kaiser Foundation, 2014). Furthermore, coverage cannot be denied to individuals with preexisting medical conditions. The government also provides tax credits based on income and family size to lower insurance expenses.

Policy analysis involves evaluating the results and consequences of new laws or policies. However, it is typical for individuals to resist and object to accepting these changes. It is important to recognize that not all new laws effectively solve the problems they intend to address. In fact, some issues may even worsen, requiring a revision of the legislation. The Affordable Health Care Act serves as an illustration of this situation, demonstrating both positive and negative aspects. In the next section, we will examine how these changes have had significant impacts on the general population in both beneficial and detrimental ways.

The Affordable Health Care Act has brought about several positive changes. Young adults in America can now stay on their parents' insurance plans until they turn 26, providing them with extended coverage. Moreover, the act has removed lifetime limits on health coverage and requires new insurance policies to include free preventive care. These are just a few examples of the benefits resulting from the Affordable Health Care Act. Another important advantage is that uninsured Americans now have access to affordable health care through the creation of the health insurance marketplace and Medicaid expansion in different states (UPMC, 2013).

The Affordable Health Care Act guarantees healthcare access for all Americans, reducing the number of uninsured individuals. Previously, many people encountered challenges in paying medical bills and expensive procedures that were beyond their means. Insurance companies used to impose exorbitant fees or reject coverage based on certain medical conditions, age, or gender. However, recent legislation has abolished this discriminatory behavior, enabling everyone to obtain affordable coverage regardless of their health status or gender. Moreover, there has been a rise in employer-provided health insurance.

According to UPMC (2013), many employers do not provide health insurance to their full-time employees. However, with the implementation of ObamaCare, companies with over 50 full-time equivalent employees must offer health insurance to their full-time staff by 2016 or face penalties. This policy change makes employers responsible for their employees' healthcare, reducing the number of people on Medicaid and decreasing the number of uninsured individuals. These benefits have a significant impact on Americans' daily lives as they eliminate discrimination based on preexisting conditions and prevent higher insurance rates for these individuals. Additionally, employers now have an obligation to offer insurance to their full-time employees, ensuring everyone has access to affordable healthcare and avoiding potential financial hardships. Nevertheless, there are also some drawbacks that need consideration.

Every policy has consequences, whether they are resolved or not. The Affordable Health Care Act may have negative effects that undermine trust in the system among Americans. Working individuals might face increased expenses as a result. Many middle-class citizens depend on full-time jobs to receive health insurance from their employers. Healthcare costs were already escalating before the implementation of the Affordable Care Act, and now employers might reconsider the insurance they provide due to the law's additional impacts. Consequently, work-based insurance expenses could potentially rise. Moreover, some of the mandated coverage options clash with employers' moral beliefs. Specifically, the requirement for free contraception has caused conflict among employers who oppose contraception based on ethical principles. However, personal choices should not be controlled by employers; employees ought to have autonomy over their own needs.

Adding more health care expenses will impact workers. This law may result in employers providing less coverage, or no coverage at all, to their workers. They might also increase the amount employees have to pay for health insurance to balance out higher premiums from the insurance company. Alternatively, they could reduce working hours to avoid offering coverage to a large number of full-time employees. The American debt is already a concern, and subsidizing health care through the government might only worsen it. If the law goes over budget, taxpayers will be at a greater disadvantage. The opposition to this new law primarily revolves around financial considerations. Americans are reluctant to support anything that may incur costs or cause them to lose money (Foster, 2011). There is a graph below illustrating how the new ACA will affect government spending.

Some employers may attempt to reduce full-time employees' hours to avoid the obligation of providing health care coverage. This practice contributes to the annual accumulation of national debt resulting from unnecessary spending. It would be more beneficial to allocate this spending towards assisting the American people rather than disregarding the issue. Unintended Consequences & Alternative Solution.

The implementation of the Affordable Health Care Act had varying effects on Americans. Some were pleased with this initiative, while others disliked the government's control over their lives. However, one negative consequence was the imposition of fines on individuals who did not purchase health insurance before April 1st, 2014. These fines increase annually and cause headaches for many Americans, forcing them to get insurance even if they disagree with it due to legal obligations. Another issue is the distinction between full-time and part-time employment, which allows businesses to reduce employee hours in order to avoid providing insurance coverage. This undermines the benefits of the Affordable Health Care Act for citizens. To address these issues, alternative methods should be considered along with corresponding recommendations.

Although the bill is already implemented and operating, I believe the United States would have been better off by emulating other countries with nationalized healthcare. Instead of implementing numerous rules and regulations, the government should impose taxes on citizens to assist with healthcare expenses. This approach eliminates the need for everyone to search for a new insurance provider based on their income and face penalties for non-compliance. By replacing the unpopular requirement of purchasing insurance with taxes, the concerns over forced purchases would be mitigated. It is important for Americans to recognize that although other nations have national healthcare, their systems are not as effective as ours, as their top doctors sought American citizenship due to better financial prospects. Consequently, excellent doctors are now frustrated because they can no longer charge whatever they deem appropriate, and insurance companies cannot deny coverage to high-risk individuals. Many countries cover healthcare costs through taxes, which is advantageous because fewer people feel the impact of monthly premiums. Moreover, if taxes are based on wages, why not consolidate payments? To sum up,

Despite the presence of positive and negative aspects in every policy, what ultimately matters is whether the benefits outweigh the drawbacks. In a broader context, Americans now have access to affordable healthcare and cannot be denied based on their medical history. This prevents individuals from accumulating high levels of debt due to costly medical procedures they require. It is crucial not to deny oneself necessary healthcare when it comes to one's well-being. Although it may lead to increased expenses for companies in the long term, they should be willing to invest in their employees' health since they profit from them. The true assessment of whether the advantages outweigh the disadvantages will become evident over the next decade. From my perspective, Obamacare is moving in the right direction, although I believe it was not adequately prepared for implementation at its time of passage. Considering opposition towards incorporating socialized health care, it is understandable why Obama pushed for its approval during his term as further delay might have hindered its success. Additionally, there are numerous benefits associated with the Affordable Health Care Act such as allowing individuals to purchase affordable health insurance without being denied due to pre-existing conditions. I think it would be better if the government raised taxes instead of Americans paying a monthly insurance fee.

This concept is comparable to actions taken by other nations. The value of something is often recognized once it becomes unavailable. If all individuals contribute taxes, there would be no need to enforce penalties for failure to pay monthly healthcare fees.

References

Foster, R. (2011). Estimated effect of the Affordable Care Act on total national health spending. Retrieved on March 1st, 2014 from http://www.intellectualtakeout.org/library/chart-graph/estimated-effect-affordable-care-act-total-national-health-spending

Kaiser Foundation. (2014). Summary of the affordable care act. Retrieved on February 24, 2014 from http://kaiserfamilyfoundation.files.wordpress.com/2011/04/8061-021.pdf

UPMC. (2013). The Pros and Cons of ObamaCare. Retrieved on March 1s, 2014 from http://www.yourhealthcaresimplified.org/news/the-pros-and-cons-of-obamacare/

U.S Department of Health & Human Services. (2014). Read the law. Retrieved on February 12th, 2014 from http://www.hhs.gov/healthcare/rights/law/index.html