Affordable Care Act - Advantages and Problems Tied with Its Implementation - Case Study Example

Affordable Care Act Affordable Care Act – Brief Overview The Patient Protection and Affordable Care Act (PPACA) also known as “ObamaCare” was signed by the President of the United States, Barak Obama, on March 23, 2010, and finally upheld by the Supreme Court on June 28, 2012 (ObamaCare Facts: Facts on the Affordable Care Act, 2014). This law has introduced comprehensive health insurance reforms that are applicable to both Americans who had insurance but that didn’t provide adequate coverage and security and the Americans who were previously uninsured (Key Features of the Affordable Care Act, 2014). This Act was enforced in order to “give the American people the stability and flexibility they need to make informed choices about their health” (About the Law, 2014). Thus, the idea laid to this Act was to provide businesses, taxpayers, families and seniors with more affordable and accessible health care of higher quality (Key Features of the Affordable Care Act, 2014). Especially this relates to individuals and small businesses as these two categories are more likely to face discriminatory behavior of the insurers and, thus, have problems with obtaining affordable insurance (Giaimo, 2013). However, since 2014, due to new market reforms and ACA program of risk adjustment in the individual and small group markets, both small businesses and individuals should be able to buy private health insurance at competitive terms (Kautter, Pope, & Keenan, 2014). Some other benefits of the ACA projected by the U.S. Department of Health and Human Services are: improved quality and decreased healthcare costs, protection against Health Care Fraud, tax credits for small business, free preventive care, consumer assistance, holding healthcare insurance companies accountable, coverage available to children up to 26 years old, etc. (Key Features of the Affordable Care Act, 2014). According to the ObamaCare website, more than 105 million of Americans have already benefited from critical preventive services free (ObamaCare Facts: Facts on the Affordable Care Act, 2014). Insured and Uninsured US population As it has been already mentioned, the primary goal of the ACA is reduction of the number of uninsured through provision of more affordable health insurance to various categories of population (Giaimo, 2013). Therefore, achievements related to this reform can be measured against the numbers of insured/uninsured Americans. According to the findings of the largest poll yet to assess the effects of the 2010 Affordable Care Act, Obamacare about 9.9 million of people have got new healthcare insurance, and more than 4 % of all American population has got health insurance for the first time (Fox, 2014). Still a significant share of American population is not currently insured (A Timeline of Health Care Reforms 2010 – 2022, 2014). As of March, 2014 about 15% of the U.S. population has no health insurance. Implementation of ACA has resulted in decrease of rate of uninsured population comparing to the fourth quarter of 2013, when it was 18% (Fox, 2014). Experts believe that under ACA reality, uninsured population will have to pay more for health care, than it costs now (PR, 2013). Efforts to repeal or significantly modify ACA Repealing of the ACA has become on the Agenda of many politicians and campaigns. For example, 83 % of Republicans and 22% of Democrats support partial to complete repeal of the law. In addition to politicians, the majority share of the American public also favours repeal of the ACA. In light of public support, there were developed strategies to repeal or significantly modify ACA. The strategies varied from full-scale repeal, modification, selective rollback, delaying implementation, to litigation and defunding (To Repeal and Replace, n.d.). Some of these efforts covered individual provisions, new Form 1099 filling requirements, Medicaid program eligibility expansion, employer penalties, industry fees and taxes, Medicare Advantage payment cuts, and the new long-term care insurance program (To Repeal and Replace, n.d.). There were many actual efforts undertaken and attempts made to repeal the Affordable Care Act. Thus, for example, during 2009-2010 there were put forward 11 bills but none of them were taken into consideration on the House Floor or in Committee. Among these bills there were alternatives for ACA replacement. Some of the options included the Empowering Patients First Act, the Offering Patients True and Individualized Options Now Act of 2009, the Siding with America’s Patients Act, and the Common Sense Health Care Reform and Affordability Act (To Repeal and Replace, n.d., n.p.). Some specific changes requiring modification were: to repeal Medicare Advantage payment cuts; to provide for additional funding and benefit coverage for select state Medicaid programs; to terminate the establishment of the Independent Payment Advisory Board; to remove 1099 tax-reporting mandate; to eliminate caps of Flexible spending accounts; to cut taxes on medical device companies (To Repeal and Replace, n.d., n.p.). Thus, by suggesting alternative options for ACA replacement, the politicians attempt to advance numerous reforms, which will increase contribution levels for health savings accounts, eliminate restrictions for medical expense tax reductions, establish association health plans, reduce state costs for high-risk individuals, and some others (To Repeal and Replace, n.d.). The ACA has both advantages and problems associated with its implementation. The benefits and merits are clearly defined and visually illustrated on relevant government websites. The problems associated with these new health care reforms take roots in financing of this system. This law implies significant funding, and therefore has impact on the national health expenditures. Increased taxes and fees as well as the federal deficit are some of the major concerns in relation to ACA enforcement (To Repeal and Replace, n.d.). The general idea of the ACA is very positive and should be perceived as a good sign. Now, everyone is truly protected under the ACA, especially for excessively expensive treatment (Freymann, 2014). However, it should be introduced when all the components are in place and every taxpayer understands why he should pay and for what he pays. Now, Americans understand that there is not free health care and it never was. Somebody should pay. Understanding of this aspect has led to increased public concerns. There is a risk that the program will continue to be under debates and subject to repeals. References: About the Law (2014). HHS.gov/healthcare. Retrieved 13 November 2014, from http://www.hhs.gov/healthcare/rights/ Freymann, S. (2014). Affordable Care Act: Lifting the Curtain on Health Care Costs. Physician Executive, 40(2), 78-83. Fox, M. (2014). Obamacare Helped Up to 10 Million Get Insurance, Gallup Finds. NBC News. Retrieved 13 November 2014, from http://www.nbcnews.com/health/health-care/obamacare-helped-10-million-get-insurance-gallup-finds-n78446 Giaimo, S. (2013). Behind the Scenes of the Patient Protection and Affordable Care Act: The Making of a Health Care Co-op. Journal Of Health Politics, Policy & Law, 38(3), 599-610. Key Features of the Affordable Care Act (2014). HHS.gov/healthcare. Retrieved 13 November 2014, from http://www.hhs.gov/healthcare/facts/timeline/index.html ObamaCare Facts: Facts on the Affordable Care Act (2014). Retrieved 13 November 2014, from http://obamacarefacts.com/obamacare-facts/ PR, N. (2013, September 12). The Costs of Remaining Uninsured: Navigating the Affordable Care Act. PR Newswire US. To Repeal and Replace (n.d.). Health Care Reform. Retrieved 13 November 2014, from http://hcr.amerigroupcorp.com/library/to-repeal-and-replace/ Read More