Obamacareis a nickname or rather another word used in place of the PPACA (PatientProtection and Affordable Act) which is a United States federal stipulationthat was created and implemented during the reign of President Baraka Obama.The statute was amended by the Congress in March 2010. Obamacare simplyrepresents the United States healthcare holistically especially focusing on themost sensitive and critical medical issues with an aim of expansion andapplication of proper regulations. However, even with the focus that theObamacare has given in the health sector, the same has been questionedespecially on its different provisions set in place.
These provisions include: Medicare Savings: This provision was meant to amicablyreduce the costs of medical and health costs like those of drug companies aswell as insurance companies. However, it created a negative image as itsimplementation distorted the insurance as well as the drug business. This meansthat despite the fact that Obamacare was initiated with an aim of enhancing thehealth sector, on the other hand, it created a challenge in other sectors (French, Homer, Gumus & Hickling, 2016). Medicaid expansion: This is a program that providesvarious healthcare services in the United States and has been considered duringbudgeting over the years. The federal government contributes a specificpercentage of the funds used by Medicaid. Obamacare resolved to expand theprogram especially by extending the limits of eligibility. This was to allowcitizens below the poverty line to access the services offered by Medicaid.
However, the increase in the number would then lead to the increase of fundsused by the program. This means that the Federal government had to raise thecost of living in order to collect more revenue to cater for the same. Individual Insurers: The insurance industry was notallowed to offer health insurance coverage to illegal immigrants even thoughthe number was high.
It was not also allowed to give cover to those who areresidents in states that do not approve the Medicare Program or those who donot qualify for the same. In addition, the insurance industry is regulated not todrop customers when they feel unwell and are unable to stabilize financially.The insurers are expected to provide cover for other health expenses of anindividual after the government offers its Maximum out of Pocket.
Taxes: There was an added percentage of tax that wasadded to individuals who register themselves as couples. In other words, thosecouples generating over 200000 dollars had to pay an extra 0.9 percent tax.This means that other citizens will be subject to higher taxes than others. Employer Mandate: The provision rules out that anycompany or organization that has more than fifty employees and does not covertheir health insurance will definitely pay a penalty in taxes. This is seen torule out that those individuals working in companies with less than 50employees stand a risk of not being insured (Facts,2015).
Eversince Obamacare system started functioning, they have been merits as well asdemerits of the results of its impact. There are Pros as well as Cons.Pros One merit of the Obamacare is that more people can nowaccess and afford medical insurance.
After a period of five years since theimplementation of the program insured citizens have increased especially theyoung adults. Another merit is that before the implementation of the Obamacareit was difficult for one to access health insurance cover when suffering from aterminal illness like Cancer, however same individuals can now access medicalcoverage. In addition, more services like screening have been catered for bythe Obamacare. Additionally, due to the reduced costs of drugs, an individualcan now access prescribed drugs at a lower cost. Lastly, the insurancecompanies do not set the limit of funds to spend on customers like before whichreally affected those with terminal diseases.
Cons It is punishable if one is found not be medicallycovered. The main aim of the program is to make sure that all citizens havehealth insurance covers. If one does not have one, then he or she ought to paya certain penalty. Another con is that due to the high number of insuredindividuals, insurance companies have divided the covers into sections where ifone wants to be covered even on critical levels, one has to pay for the premiumcover. Lastly, most companies and organizations are keeping off from employingmany people so as to avoid paying for their medical covers. Others are cuttingdown employees for the same reason meaning that people are losing jobs becauseof the measures set in place by the Obamacare program.