Obamacare facts, or what you need to know.
The unwieldy new law has lots of people confused. Let’s take a look at the basics.
Coverage
-The Affordable Care Act prohibits insurance companies from dropping your coverage if you get sick, and doesn’t let companies deny you coverage because of pre-existing conditions
-Young adults can stay on the parent’s plans until age 26
“Fines,” or Penalties
-By January 1, 2014, all Americans must have health insurance or will face a tax penalty
-The fine for 2014 is $95 per person or 1 percent of income, whichever is greater.
-By 2016 the fines are up to $695 per year, or 2.5 percent of income. For families, the tax is 2.5 percent of income or $2,085, whichever is greater.
Options
-Americans can keep existing coverage
-They can shop for health insurance in their state’s health insurance marketplace
-These marketplaces open on October 1, 2013
-If you don’t sign up by March 31, 2014, you have to wait to sign up until October 15, 2014
Types of Plans
-Bronze, silver, gold, and platinum
-The bronze has the lowest premiums but the highest out-of-pocket costs
-The platinum has the highest premiums but the lowest out-of-pocket costs
Businesses
-Small businesses with over 50 employees have to insure their employees or pay a penalty--$2,000 per employee
-In other words, companies can choose not to insure their employees
-If you already have insurance through your employer, you can keep it
