Those adamantly opposed to The Affordable Care Act (ACA), once derisively referred to as Obamacare but which has since lost its pejorative appellation, still rally around any bill to appeal the law or to somehow defund it. Many of these individuals see the health care law as an infringement on their personal liberty especially the mandate that everyone purchase healthcare or face a penalty that surprisingly survived a Supreme Court challenge. Other concerns revolve around the cost to businesses, its affect on hiring, worker status and whether it will ultimately reduce the number or uninsured in this country while cutting the cost of healthcare.
Cost of Coverage
A common argument against the law is that it will increase the cost of coverage since some people will only buy coverage once they become sick or injured, since there is no longer any provision for preexisting illnesses or other conditions, thus raising coverage for everyone else. Read More
While The Affordable Health Care Act (ACA), also known as Obamacare, continues to spark debate and repeated efforts by GOP lawmakers to repeal the bill, it is instructive to at least examine some of the benefits provided by the law.
Covers People with Preexisting Health Conditions
This is the main benefit of the law. Previously, insurers were free to deny coverage to anyone with a health condition that existed before applying for coverage, thus disqualifying countless individuals with serious health issues and leaving them uninsured.
There have been a number of concerns regarding the effect of the McCarran-Ferguson Act and its impact on healthcare reform, particularly on The Affordable Care Act. McCarran-Ferguson was passed in 1945 and essentially affirmed the States’ role in regulating the insurance industry while giving insurers a limited exemption from federal antitrust laws. The antitrust exemption is limited to those activities that constitute the business of insurance, are state regulated, and do not constitute an agreement “to boycott, coerce or intimidate.” Read More
Insurance firms in each state are protected from interstate competition by the federal McCarran-Ferguson Act (1945), which grants states the right to regulate health plans within their borders. Large employers who self-insure are exempt from these state regulations.