Monday, December 15, 2014

People With Insurance To Pay $63 Per Year For Those With Preexisting Conditions

By Cornelius Nunev

The Affordable Care Act, which many took to calling "Obamacare," requires everyone with preexisting problems can't be excluded from health insurance plans. However, to get them onto programs means somebody will have to pay to get them insured. Every person with insurance through employers will foot the bill, to the tune of $63 per year beginning in 2014.

Preexisting problems tax to start in a year

No matter what a person's situation, people with preexisting conditions should always be able to get insurance coverage. It should be given to everyone who is willing to pay premiums to get it. Insurance is really important to a person's health.

Due to the Affordable Care Act that was passed by the Obama administration, insurance corporations can no longer exclude those with preexisting problems. The cash has to come from somewhere to help pay for it though.

The additional costs on insurance companies means the people left holding the check are those that already have insurance and the employers who purchase it, according to CBS. It doesn't kick in until 2014, but $25 billion has to be elevated between 2014 and 2017.

Yearly cost of $63

Everybody presently insured will end up having to pay a fee to give insurance to those with preexisting conditions though. About 190 million people get insurance through their employers, and the fee will probably be passed on through them. Every business that gives insurance to employees will be paying, according to the ACA's text.

The fee is going to be passed to corporations on a yearly basis of $63 per insured person. That means the bill is higher for large companies and not so bad for small companies. The fee will likely be passed down to workers at an extra $5.25 a month to get it all paid. It may not cause you to run for payday loans to pay the rent, but it could seriously impact people on tight budgets.

In 2017, the fee will phase out completely, and it will drop every year starting at $63 per person in 2014 to $50 the next year. The fee keeps going down.

Taking just a little to give just a little

All told, besides just that $25 billion cost to cover people with preexisting conditions, the ACA requires $700 billion be elevated from numerous sources over a decade. Noble as the idea is to get more people covered under health insurance, a lot of Peters have to pay for Paul, so to speak.

According to the Washington Post, health insurance premiums are increasing everywhere due to the health care law. People can expect to pay a lot more. HR consultancy Mercer did a survey that found 10 percent of businesses with over 500 workers increased health insurance premiums last year. This year, that number was up to 12 percent of businesses.

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