In March 2010, President Obama signed the Affordable Care Act (ACA) into law. The bill followed a long path of twists and turns on its journey to get passed in both houses of Congress.
It was a common topic of discussion on the news that would affect Americans’ access to health insurance.
But, even if you followed the news closely you might still wonder, ‘what is ACA health insurance?’
The truth is, it’s a complex bill with several important components, but we’re here to summarize it for you. Read on to learn about ACA benefits and what it means to have ACA insurance.
What Is ACA Health Insurance?
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ACA health insurance is a policy that you sign up for through the Health Insurance Marketplace website. These insurance plans are offered by a range of different insurance companies.
These plans must cover a set of essential health benefits like emergency and outpatient care, family planning, lab services, and more. Preventative health screenings and checkup appointments also have to be covered.
If you have ACA health insurance, a portion of your monthly premium is paid for by the government through a subsidy called the premium tax credit. Your premium tax credit is based on your yearly income.
You’ll need to pay the leftover amount to your insurance provider and file your taxes each year.
Coverage for Pre-Existing Conditions
Another benefit of the ACA bill is protections for those with pre-existing conditions. Before, an insurance company could deny you coverage if you had a condition like cancer, heart disease, and many other chronic or ongoing conditions.
With ACA insurance, you can get health insurance coverage even if you have what’s considered a pre-existing condition.
Insurance Coverage for Children Until Age 26
The Affordable Care Act also made it possible for children to stay on their parent’s insurance policy until age 26. If you have a young adult child, they can stay on your health insurance policy until they’re 26 even if they’re no longer a dependent.
If you’re a young adult and staying on your parents’ insurance plan isn’t an option, you can sign up for your own insurance plan through the Health Insurance Marketplace. The subsidy amount you qualify for will depend on your own income and you’ll still need to file your taxes.
Medicaid Eligibility Expansion
The ACA also expanded the pool of people who can be covered under Medicaid, the free or low-cost healthcare program funded by the federal government.
Before, it was only available to people with incomes at or below the federal poverty level. Now, you can be eligible for Medicaid even if your income is above the poverty line. This further eases the financial burden of health insurance coverage.
The ACA also required more transparency between doctors and medical supply companies through the Sunshine Act which you can read about on this page. The goal of the ACA was to provide more equitable health coverage and the Sunshine Act also helps treat that.
Get the Insurance Coverage You Need
If you’re in need of insurance coverage, you might wonder ‘what is ACA health insurance?’ Now you know that it’s a partnership between the government and private insurance companies designed to make health insurance easier for you to get.
To learn more about protecting your health, keep scrolling through our blog.