Standardization of Health Insurance under the Affordable Care Act
The aim of the Affordable Care Act (ACA) has been to reduce the number of uninsured individuals by making comprehensive, affordable coverage widely accessible. The ACA also prevents insurance companies from denying coverage based on preexisting conditions and charging more based on a person’s gender, and it balances the cost ratio for older individuals, among other changes.
By standardizing plans, the ACA aims to make choosing a plan easier, as well. When consumers have a very large variety of plans to choose from, it can be difficult to make a decision, as “analysis paralysis” can set in. Plans today generally have many different deductibles and other out-of-pocket costs, which can be confusing.
Standardization Could Make It Easier To Choose
Under the ACA, insurers will be required to offer plans at different levels of coverage—bronze, silver, gold and platinum. The tiered plans will offer coverage at different levels and price points. A bronze plan, for example, will cover 60% of expenses at a lower premium, while a platinum-level plan will cover 90% of expenses at a higher premium. The plan options will allow consumers to choose a plan that fits within their budget.
According to the US Centers for Medicare & Medicaid Services, each plan level must cover the same essential health benefits, which include:
- Ambulatory patient services
- Emergency services
- Hospitalization
- Maternity and newborn care
- Mental health and substance use disorder services, including behavioral health treatment
- Prescription drugs
- Rehabilitative and habilitative services and devices
- Laboratory services
- Preventive and wellness services and chronic disease management
- Pediatric services
As of January 2014, most Americans will be required to carry health insurance, and health insurance exchanges have been set up to help individuals and businesses obtain coverage. Benefits Packages will be an exchange certified agency, and can help you understand how the law will affect you and help you find affordable, comprehensive coverage. We work with well-known carriers in the industry, like Anthem Blue Cross and Blue Shield. Call us today at 1-800-356-3615 to find out how our professional agents can help you.