Obamacare explained what you need to know now electricity font generator


• Some families received a check from the insurance company. That’s because Obamacare says that companies must spend at least 80 percent of premiums on providing actual medical services. If they spent it on advertising or executive salaries, they have to pay the excess back to policy-holders.

Many people with good health insurance worried that their companies would cancel their existing plans. The Congressional Budget Office said that could happen to 3 million to 5 million employees. The Urban Institute estimated that 2.6 million people lost their individual plans.

Why? Some companies find it cheaper to pay the penalties and allow their workers to get insurance on the exchanges. Most companies will keep offering health insurance as a benefit to attract the best workers. It’s less expensive for them than offering higher wages.

Obamacare requires everyone to enroll in health insurance by January 31, 2019. Those who don’t face a 2.5 percent tax on their 2018 adjusted gross income. The minimum is $625 per adult. To find out more, see Many people can avoid the tax if they qualify for exemptions.

Obamacare allows more people to get Medicaid. The eligible income is 138 percent of the federal poverty level. The exact income level varies by state. The federal government paid all the additional cost for the first three years. After that, the states pay 10 percent. Not all states expanded Medicaid, despite the federal subsidy.

Most families that make too much to get Medicaid will still get help. They can get subsidies every month or even reduced copayments and deductibles. This eligible income is 400 percent of the poverty level, and it increases with inflation each year.

Many people don’t think the federal government should have the right to force people to get insurance. Why is the federal government requiring it? If everyone has insurance, more people will go to the doctor when they are getting sick, instead of waiting until their illness turns into an expensive emergency. That lowers health care costs for everyone.

Over time, health insurance should cost your family less. That’s because more healthy people will pay more premiums to insurance companies, who will then make more money. They will compete with each other in the exchanges, so they’ll charge less to get more business. Older people on Medicare will have more of their drug costs covered, meaning they can afford to take all their medicine as they should and stay out of the hospital. That also lowers costs for everyone.

Those who have Medicare Part D, which paid for some but not al the costs of prescription drugs, received $250 in 2010 if they needed it. In 2011, they received 50 percent off brand-name prescription drugs, and a 7 percent discount for generic medicines. By 2020, Obamacare will pay 100 percent of prescription drug costs for those who have Medicare Part D.

Small-Business Owners – Owners of small businesses (25 employees or less) that provide health insurance can get a tax credit for 50 percent of the cost of Obamacare. They can also get federal financial assistance if they offer health insurance to early retirees age 55-64.

Members and Staff of Congress – Members of Congress and their staff are required to get their insurance through the same exchanges, instead of the government-provided health insurance they got before. But they continue to receive subsidies to pay for their insurance: $4,900 for individuals and $10,000 for family coverage.

Small Businesses – Companies with 100 or more employees are required to provide health insurance. If they can’t or won’t, they will be taxed $2,000 per employee, except for the first 30 employees. To help them find the cheapest plans, businesses with fewer than 50 employees can shop on the health insurance exchanges.