The Affordable Care Act, also known as the “ACA” and “Obamacare,” was passed in 2010. It remains unpopular. In this article, I summarize the current situation and offer a way forward that makes substantive changes, while retaining its advantages and allowing a flexible transition.
The ACA set minimum coverage standards for medical (insurance) plans, and made it somewhat easier for an unemployed person to obtain coverage. However, these standards are so stringent that they require very high deductibles and costly premiums, and are therefore often unaffordable for those without subsidies: An individual could easily pay well over $10,000 annually before receiving any benefits, while still facing copayments (“copays”) and exclusions for plans that in many cases have weak doctor networks. For a healthy person, this is close to a catastrophic plan.
