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Obamacare - Essay Example

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The Obamacare or Patient Protection and Affordable Care Act were the most ambitious programs adopted by the Obama administration in the health sector. The essay "Obamacare" explores the pros and cons of Obamacare effectiveness and its consistency with the constitutional framework of federalism…
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Obamacare
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"Obamacare"

Download file to see previous pages There are various advantages of the Obama health care plan. First, the act reduces the overall health care cost by making services available to the people who had no access to insurance (Chrumbelievable, 2012). Such people initially often used hospital emergency room as the primary care with increased medical cost. This will be a relief to such people. In addition, it is a relief to those who cannot afford health insurance. This is because the federal government will pay the state to incorporate them in the Medicaid (Chrumbelievable, 2012). Secondly, those who fail to qualify for expanded Medicaid due to low income the state will be compelled to set up insurance exchanges to alleviate the burden of getting private health insurance coverage (Chrumbelievable, 2012). Thirdly, those with preexisting conditions like children will not be denied insurance cover. Additionally, insurance company will not drop anyone from the cover once they become sick. Moreover, parents can now put their children on their health insurance cover up to 26 years old (Chrumbelievable, 2012). This will be advantageous to the insurance companies because they will get more premiums at a lower cost on covering healthier individuals. Equally, small business are spared by this care while large business are only required to offer health insurance, but receive tax credits to help employees pay premiums (Chrumbelievable, 2012).
On the other hand, the Obamacare also has disadvantages. First, the increased coverage is likely to raise the health care costs. This is because a large group of people will receive preventive care and testing without establishing whether they had critical illness (ProQuest, n.d.). Secondly, the drug cost is likely to increase in the future as the pharmaceuticals companies are forced to pay over $80 billion in fee of closing the “donut hole” (Pipes, 2010). Some business may be discouraged to hire new employees. For example, the medical-device manufacturer and importers are required to pay a 2.35 excise tax (Pipes, 2010). There is also likelihood of tax being raised in the majority of the population. The Obamacare is in consistency with the constitutional framework of federalism. This is because the enactment of the Obamacare preserved state sovereignty (Democrat, 2012). Although it had numerous stringent federal mandates, the state had maintained substantial ...Download file to see next pagesRead More
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