The Affordable Care Act (ACA) also known as Obama Care was enacted in 2010. The law consents consumers with subsidies such as premium tax credit that ensures lower costs for individuals with Federal Poverty Level (FPL) income between 100% and 400%. The ACA provides health insurance services for middle class income individuals. It also pays for subsidies by taxing individuals that meet the high income federal poverty level guidelines. Many individuals in the middle and high class income level in the United States view health insurance as a burden. Health insurance in the U.S. has positive and negative effects. Today, more Americans say the 2010 health care overhaul has had a mostly positive than mostly negative effect on the country (44% versus 35%), while 14% say it has not had much effect (Fingerhut, 2017). The positive effect for Americans is that they do not have to pay full cost out of pocket expense. Individuals have the advantage to pay half of the cost for health care on a monthly basis and receive high quality of care. Many individuals who have the advantage to attain health insurance from their employer either decline or accept depending on the out of pocket costs. Some organizations offer health insurance for employees, however the monthly premium deductible may be high. Therefore consumer’s prefer to enroll for health insurance in the ACA and decline insurance with their employer. Consumers feel that insurance in the ACA covers a higher quality of care and is cost efficient and affordable. The negative burden of the federal policy is Steep premium increases are likely in much of the country, and while premium tax credits will expand to cover these increases for lower-income consumers, individuals not eligible for tax credits will have to cover the full increase themselves ( Jost, 2018). There are many consumers in middle class income that have to pay a high deductible for health insurance. Most of these consumers prefer to opt out of the ACA and pay out of pocket cost. Many hospitals and clinic have sliding fee scales. Sliding fee scales in organizations are provided for individuals who prefer to pay a fee for annual checkup and regular dental and specialty health services. Depending on the state the consumer resides sliding fee scales range from $2- $60 per visit.
Consumer based allows individuals to save and receive reimbursement for paying high deductibles and out of pocket expenses. For example; if a consumer has a platinum level health plan from the ACA with a $3,000 deductible, if the consumer does not utilizes the deductible amount then the amount roles over. This allows high deductibles policies to cost less and but the consumer pays for medical claims by utilizing a prefunded spending account. Consumers with prefunded spending account have a special debit card that allows consumers to utilize funds for medical purposes. The rollover is a positive effect for consumers. If the balance runs out then consumers are responsible to pay full out of pocket expenses for health care. The federal policy for health insurance has positives and negative outcome for consumers. However the positives outweigh the negative. Consumers are able to pay for health insurance through the ACA. Consumers are able to rollover funds paid through the ACA and they can utilize the fund for different types of health services.
Consumer based allows individuals to save and receive reimbursement for paying high deductibles and out of pocket expenses. For example; if a consumer has a platinum level health plan from the ACA with a $3,000 deductible, if the consumer does not utilizes the deductible amount then the amount roles over. This allows high deductibles policies to cost less and but the consumer pays for medical claims by utilizing a prefunded spending account. Consumers with prefunded spending account have a special debit card that allows consumers to utilize funds for medical purposes. The rollover is a positive effect for consumers. If the balance runs out then consumers are responsible to pay full out of pocket expenses for health care. The federal policy for health insurance has positives and negative outcome for consumers. However the positives outweigh the negative. Consumers are able to pay for health insurance through the ACA. Consumers are able to rollover funds paid through the ACA and they can utilize the fund for different types of health services.