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March 29, 2010
Armageddon: The Aftermath
So
what happens now? This:
Now
- $250 rebate checks are sent
to
senior citizens who hit the “doughnut hole” in their
prescription drug coverage
in 2010. (Government to pay an increasing share of “doughnut
hole” expenditures
through 2020 when the gap will be filled.)
- Small businesses are
eligible for
tax credits, up to 35 percent of premiums, for purchase of employees'
health insurance.
In
90 Days (June 21st)
- High-risk pools to insure
Americans
deemed “uninsurable” because of preexisting conditions are
established.
In 6 Months (September 23rd)
- Insurers are prohibited
from denying coverage to children based on preexisting conditions.
- Insurers are prohibited
from rescinding coverage.
- Insurers are prohibited
from setting life-time limits on benefits.
- Children are eligible to
remain
on parents’ insurance plans until age 26.
In
9 Months (January 1st, 2011)
- Insurers are required
to spend 80 to 85 percent of premiums on medical care. (Currently they spend as little as 60 percent.)
- Medicare patients are
eligible
for annual free preventive care services, such as cancer screening.
(Currently these
require copayments.)
In
2011
- Drug manufacturers start
paying $16
billion, and health insurers $47 billion, in fees through 2019.
- Cuts to Medicare Advantage,
totalling $132 billion over ten years, start.
- Restaurant chains with 20 or
more outlets are required to post calorie information on menus and
drive-through
signs.
In
2013
- Individuals earning over
$200,000
and couples earning over $250,000 start paying higher Medicare taxes
(rising 0.9
percent to 2.35 percent) and a new tax of 3.8 percent on unearned
income
(dividends, interest).
- Medical device manufacturers
start paying a 2.9 percent excise tax on sales.
In
2014
- Health insurance
exchanges—marketplaces where people without work-based coverage
can buy
insurance—become operational.
- Most people are required to
buy health insurance.
- People with incomes up to
133
percent of poverty are eligible for Medicaid.
- Subsidies to help lower- and
middle-income Americans buy health coverage are introduced.
- Insurers are prohibited
from denying coverage to anyone based on preexisting conditions.
- Insurers are prohibited
from imposing annual limits on benefits.
In
2018
- A 40 percent excise tax on
“Cadillac”
insurance plans (plans costing over $10,200 for individuals or $27,500
for
families) is introduced.
In 2019
- 32 million currently
uninsured Americans are insured.
These are, needless to say, just a
smattering of the highlights. (For a more comprehensive list, see here.)
There are, of
course, costs
associated with the benefits of health care reform (and I’ve
noted a bunch
of them). But the case that health care reform doesn’t, on
balance, make us a
better society—let alone create a “health care gulag”
(John Cornyn) or “ruin
our country” (John Boehner)—is hard to make.
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Other Postings
About Arizona
The Recovery in Context
Obama's and the Dems' Achievements
The Structural Unemployment Story
Systematically Wrong II
Systematically Wrong
Four Instruments
Where the Economy is and Where It's (Apparently) Going
Some Reality about Deficits
The Hype
How to Explain It
Is
Health Care Reform Popular?
The
Point of the Public Plan
The
Context of Health Care Reform
Addendum
Is
Low Life Expectancy the Fault of Our Health Care System?
What
Americans Believe
American
Health Care: Best in the World?
Is
76.5 Large?
NBC-WSJ Poll
Inside
the Asylum
More
About Bubbles
Why Did
Economists Miss the Housing Bubble?
Why
Has Monetary Policy Been so Ineffective?
The
Geithner Plan
Is
22.2 Large?
Economics:
A Theoretical Divide
The New
Deal and the Great Depression
Stimulus
By the Skin of Our Teeth
The
Interregnum
Postmortem
Obama
and McCain on Tax Cuts and Health Care
Religion
and the New Atheism
Memes
and (the movie) Blow Up
The Selection Task
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