Brady and Associates, LLC

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Health Care—Affordable Care Act

The provisions of the Affordable Care Act (ACA), signed into law by President Obama began rolling out September 23, 2010.

For small business owners who need to administrate and explain these coverage changes to their employees, it's important to review your individual health plan, be prepared to answer questions, and know where to direct those questions you cannot answer yourself.

Some of the provisions include:

· Pre-Existing Conditions—As of September 23, 2010 healthcare coverage cannot be denied based on pre-existing conditions.

· Children — requires insurers to now offer coverage to all children under the age of 18, even if they have pre-existing conditions. The law doesn't mean that the coverage will be "affordable", however, parents will  now have the option of including the child without denial.

· Coverage for Young Adult Children — Insurers must also extend coverage for children up to the age of 26 through their parents' coverage. The law applies only if they do not have their own employer-sponsored health insurance.

· Ban on Lifetime Coverage Limits and Annual Limits Begin to Phase Out.

· Prohibition on Rescinding Coverage - Insurers will be prohibited from cancelling coverage with the exception of proof of claimant fraud.

· Free Coverage for Preventative Care for Items like Mammograms and Cholesterol Screenings
That means no more copayments, coinsurance or deductibles for some treatments recommended by the Centers for Disease Control and Prevention.

· Aid for Seniors — More than 4 million seniors who have reached the capitation on their Medicare deductibles and out of pocket prescription drug benefits, affectionately called "in the doughnut hole", will now be receiving (or may have already received) $250 checks to help cover the costs of prescription drugs.

· Changes to Medicaid—The bill further expands Medicaid and subsidy programs to low-income Americans starting in 2014."

· Tax Credits for Small Business—ACA provides tax credits and the ability for small business to shop in insurance exchanges in order to obtain employee healthcare plans with more affordable premiums.

 

For additional information visit IRS.gov