The Affordable Care Act is making health insurance more affordable

Posted by AzBlueMeanie:

About 6.4 million Americans will be able to purchase insurance for less than $100 each month on Obamacare’s new state-level marketplaces, according to a new report from the Department of Health and Human Services, Think Progress reports. Under Obamacare, Millions Of Americans Will Pay Less Than $100 Per Month For Health Insurance:

The Obama administration calculated the expected premiums for people
buying “silver” plans, which are the second-cheapest option on the new
insurance marketplaces. Even though not every marketplace has announced
its premium rates yet, researchers were still able to estimate those
payments based on the health law’s rule for determining subsidies.

[See Subsidy Calculator | The Henry J. Kaiser Family Foundation.]

Americans who make up to 400 percent of the federal poverty level —
which works out to be $94,200 for a family of four — are eligible for
subsidies that ensure they’ll only pay a certain percentage of their
income for a health plan. Using census data on Americans’ income levels,
researchers were able to extrapolate how many of them would be paying
less than $100 for monthly premiums for silver plans.

The new HHS report
aligns with previous research that has found that many Americans won’t
be covering the full cost of premiums for individual plans on
Obamacare’s marketplaces. The Kaiser Family Foundation estimates that 48 percent
of the Americans who need to buy insurance on the marketplaces will
receive federal subsidies to help them afford it. That number rises even
more for young Americans between the ages of 18 to 34 years old, who comprise the largest share of any age group to benefit from this cost-saving provision.

[M]any of the reports about potential “rate shock” don’t take into account
the effect of the federal subsidies. It’s difficult to predict how
Obamacare will impact specific premiums in every state, but it is
important to remember that the plans being created under the health law
are brand new. They won’t necessarily be comparable
to the insurance that Americans currently have, because Obamacare’s
marketplaces will require each plan to meet a set of requirements to ensure they provide adequate coverage.

In addition to subsidized plans on the marketplaces, other Americans
will end up paying less than $100 for their insurance because they will
qualify for Medicaid under their state’s expanded program. Obamacare’s
Medicaid expansion
is optional,
and the HHS report calculated the effect it will have in the 25 states
that have so far indicated they will accept it. In that half of the
country, about 12.4 million uninsured Americans will pay less than $100
each month — and many of them will pay nothing at all — to participate
in the public health insurance program
.

Between federal subsidies and increased Medicaid enrollment, more than half
of the Americans who are currently uninsured won’t need to pay more
than $100 per month to begin accessing health coverage under Obamacare
,
according to HHS Secretary Kathleen Sebelius.

The "soft opening" of the Arizona Health Insurance Marketplace will be on October 1.

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