bake - January 2014 - 14

labor front

Health Care 2014
The Affordable Care Act puts in place comprehensive health
insurance reforms that will roll out over four years and beyond.
The following represents what's coming in this year, 2014.
New Consumer Protections
* Prohibiting discrimination due to pre-existing conditions or
gender - The law implements strong reforms that prohibit

* Establishing the health insurance marketplace - Starting in

insurance companies from refusing to sell coverage or renew

2014 if your employer doesn't offer insurance, you will be

policies because of an individual's pre-existing conditions.

able to buy it directly in the Health Insurance Marketplace.

Also, in the individual and small group market, the law elimi-

Individuals and small businesses can buy affordable and

nates the ability of insurance companies to charge higher

qualiﬁed health beneﬁt plans in this new transparent and

rates due to gender or health status. Effective January 1, 2014.

competitive insurance marketplace. The Marketplace will
offer you a choice of health plans that meet certain beneﬁts

* Eliminating annual limits on insurance coverage - The law

and cost standards. Starting in 2014, Members of Congress

prohibits new plans and existing group plans from imposing

will be getting their health care insurance through the

annual dollar limits on the amount of coverage an individual

Marketplace, and you will be able buy your insurance

may receive. Effective January 1, 2014.

through the Marketplace too.

* Ensuring coverage for individuals participating in clinical

* Increasing the Small Business Tax Credit - The law implements

trials - Insurers will be prohibited from dropping or limiting

the second phase of the small business tax credit for qualiﬁed

coverage because an individual chooses to participate in a

small businesses and small non-proﬁt organizations. In this

clinical trial. This applies to all clinical trials that treat cancer

phase, the credit is up to 50% of the employer's contribution

or other life-threatening diseases. Effective January 1, 2014.

to provide health insurance for employees. There is also up
to a 35% credit for small non-proﬁt organizations. Effective

Insurance companies will not
be able to charge higher rates
due to gender or health status.

January 1, 2014.
Increasing access to affordable care
* Increasing access to Medicaid - Americans who earn less
than 133% of the poverty level (approximately $14,000 for an
individual and $29,000 for a family of four) will be eligible to

Improving quality and lowering costs

enroll in Medicaid. States will receive 100% federal funding

* Making Care More Affordable - Tax credits to make it easier

for the ﬁrst three years to support this expanded coverage,

for the middle class to afford insurance will become avail-

phasing to 90% federal funding in subsequent years. Effective

able for people with income between 100% and 400% of

January 1, 2014.

the poverty line who are not eligible for other affordable
coverage. (In 2010, 400% of the poverty line comes out to

* Promoting individual responsibility - Under the law, most

about $43,000 for an individual or $88,000 for a family of

individuals who can afford it will be required to obtain basic

four.) The tax credit is advanceable, so it can lower your

health insurance coverage or pay a fee to help offset the costs

premium payments each month, rather than making you wait

of caring for uninsured Americans. If affordable coverage is

for tax time. It's also refundable, so moderate-income families

not available to an individual, he or she will be eligible for an

can receive the full beneﬁt of the credit. These individuals

exemption. Effective January 1, 2014.

may also qualify for reduced cost-sharing (copayments,
co-insurance, and deductibles). Effective January 1, 2014.

14 < JAN 2014 | bakemag.com

SOURCE: WWW.HHS.GOV
http://www.hhs.gov http://www.bakemag.com
bake - January 2014

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