Health Care Reform Bill Summary
After a series of debates, the Health Care Reform Bill has finally been passed into law by the Congress. The bill was passed into law on March 23, 2010. Now that the bill is finally passed, the bone of contention is; what does this Health Reform Bill Contain? What are the actual expectations and transformation that people will experience as a result of the power struggle? Or are these just political games with little real impact? This piece will reveal to you the Health Care Reform Bill Summary.
It should be realized that some of the changes to the Health Care Reform Bill are in phases as majority of the changes therein don’t come into play immediately when the bill is signed into law by President Barrack Obama.
These changes will be a gradual process that will have to take the next decade before being fully implemented.
Below are the main changes and the impact they have on the entire economy of the United States of America.
What Is Contained In the Bill ?
Prior to 2011:
– All Small businesses were given a tax credit to contribute to new health insurance for employees.
– Children cannot be disqualified from getting health insurance from providers as a result of the pre-existing circumstances.
– In anticipation of the latest health insurance exchanges coming online in 2014, the existing adults that are uninsured with pre-existing conditions will have the opportunity of buying subsidized health care coverage.
– Companies can make use of a provisional health “reinsurance program” to make benefits available for 55-64 year old retirees.
– Diagnosing you with a fresh ill health is no longer a condition for losing your health insurance coverage. Furthermore, insurance providers will no longer be able to restrict your natural life health settlement, and their capacity to limit yearly coverage will be limited.
– Currently, there is a Medicare prescription drug loophole between approximately $2700 and $6200 value of medicine. The Health Care Reform Bill together makes available a $250 discount to all Medicare recipients that are within this loophole and provides for the closing of the gap.
– That age by which children will be able to use the health coverage of their parents was increased to 26 years from the previous 19 years or college graduation.
– Tanning services done indoor with ultraviolet lights will attract a 10% tax on their services with effect from July 1st, 2009
– Big Pharmaceutical companies will be taxed as well based on market share.
– Primary care physicians as well as all-purpose surgeons will receive a 10% increase in bonus payments.
– Medicare benefit payments are frozen at 2010 levels and will ultimately come more into line with traditional Medicare payments.
– Opportunity will be available to States to offer a new in-home care program to poor patients who would have been required to visit the hospital.
– Workers have the chance to see the worth of their health benefits on their W-2 forms.
– A yearly complimentary wellness visit and customized avoidance plan analysis will be given free of charge to all Medicare recipients. Whichever extra new health care plans will be necessary to give such services and their resulting protective care at diminutive or no cost to Medicare patients.
At each hospital, level, physician and Medicare, controls and programs are implemented which reduces rates of readmission, encourages more accountability among healthcare professionals and improves excellent outcomes for patients.
– All the higher income tax payers (>$250,000 for joint filings and >$200,000 for singles) will have their payroll tax raised from 1.4 percent to 2.35 percent and pay a 3.8 percent outlay income tax.
– There is chance for tax payers to claim medical expenses on enumerated tax returns at a 10 percent rate as an alternative to 7.5 percent. Aged or elderly tax payers can carry on with this until 2017.
– Non-public medical contrivance taxes will be furthermore taxed at 2.9 percent.
– The programs started in 2012 to be continued and extensive.
– All Employers of labor with >50 workers will be surcharged $2000 for every worker after number 30 if they fail to provide employer health insurance.
– Many people will be surcharged if they don’t have health insurance, whether all the way through an employer or in private. Tax credits for buying health care in the course of an exchange will be given to those with incomes up to 400 percent of deficiency levels.
– Just as the same as the 2011 pharmaceutical taxes, during 2014 health insurance companies will pay tax based on market share.
– It will no longer be lawful to eliminate someone from getting health insurance for having a pre-existing medical situation.
– There will be the opening of the State-level health insurance exchanges which will allow organizations and individuals to shop around for inexpensive health insurance.
There will be Medicare shifts to satisfying quality of care instead of amount of services.
The Cadillac health insurance or higher cost employer health insurance plans is taxed, with the exception for the initial $27,000 for families and $10000 for individuals.
The Implications On Small Businesses
The newly passed Health Care Reform Bill is going to have a great impact on small companies or businesses. Since the implementation of the changes, small organizations with 10 to 100 workers will discover that when it comes to health care reform, it is nothing but the usual business.
There are many advantages and disadvantages of the Health Care Reform Bill for small businesses based on the employee income, company size and annual payroll.
However, the interesting part is that organizations with workers of 26 to 49 are not qualified for tax credits or expected to provide health care coverage for less than 50 workers which potentially slows employment growth for the smallest companies.
To assist these small businesses survive the changeover, the Small Business Association and Healthcare Commissioner will offer guidance, information on existing affordability credits, technical support, as well as enrollment and plan medley assistance to small organizations taking part in the health care insurance exchange.
Organizations that choose to give coverage all the way through their own group insurance plan prior to 2013 will have a 5-year period of grace in which they must meet the same requirements in line with the way the government runs Qualified Health Benefits Plans.
For the risks groups, the premium for these plans can be increased only if they are increased for all those that are enrolled in the same risk group.