10 Basic Ways the Patient Protection and Affordable Care Act may affect you

July 23, 2012 by Stephanie Potash

10 Basic Ways the Patient Protection and Affordable Care Act may affect you

There has been much debate, discussion and some confusion when it comes to the Patient Protection and Affordable Care Act and with the recent Supreme Court ruling, we wanted to break down the 10 ways the Act could affect you.

1. Most Americans must have healthcare insurance by 2-14, or pay a penalty tax for not having it.

2.  An insurance company cannot turn children under age 19 down for coverage because of pre-existing conditions.  Beginning in 2014, this protection extends to cover all Americans.

3. Many young people will be able to stay on a parents’ plan until they are 26 years of age.

4.  Seniors may pay less for prescription drugs.

5.  Insured individuals will generally be entitled to certain preventative services without charge.

6. The private sector will continue to provide health care financed by the insurance companies.

7.  More low-income people will likely be covered by Medicaid.

8.  Starting in 2014, employers with 50 or more full-time equivalent employees that do not currently offer health insurance as a benefit will be required to do so, or a penalty will be imposed.  However, businesses with less than 50 employees are exempt.

9.  Insurance companies cannot cancel your policy and beginning in 2014, the cannot impose lifetime dollar limits on  your benefits.

10.  There are many tax implications in the new law for individuals and businesses.

 

**If you have any questions about how the healthcare law may affect your business, speak with your employee benefits adviser, tax adviser and/or attorney