Essay Examples

Understanding the Impact of the American Healthcare System Regulatory Acts

The American healthcare system’s regulations are represented by two acts that were formed in respect of the 1965 passage of Medicare and Medicaid. The first act, Patient Protection and Affordable Care Act (PPACA), also called Obamacare, came into force on March 23, 2010, after being signed by President Obama. The other act, called Health Care and Education Reconciliation Act, works together with Obamacare Act to ensure that the population in need of Medicare or Medicaid receives better services. The acts have benefits and disadvantages for the people of America. The regulatory formed the act with the aim of improving health services. The two acts have made considerable improvements in the healthcare systems, and people do not worry because of treatment. The acts ensure professionalism in service delivery and availability of the required medical facilities.

Changes in Health Care Policy

The two acts had a profound effect on American healthcare systems. A lot of policies came into force, while some of the old ones were abolished. Many people felt the effect, especially those working in health care systems. The population carrying out health care private business also felt the effect of the acts. After the signing of the act, the taxes credit involved in buying insurance was raised. Other people, like senators who received exceptional care, did not receive it. The bills supported the abolition of special care to Senator Ben Nelson. The government also lowered the penalty for people without insurance coverage from $750 to $ 695. The taxation of the Cadillac healthcare plan will take place in 2018, while Medicare Part D closure will take place in 2020 with $ 250 compensation to the seniors. The doctors treating patients will be reimbursed at the full rate. The act also set Medicare taxation bills for families with an annual income of $ 250,000 and above. The act offered more to poor people. As of 2014, a company with 50 workers and above should offer coverage for the workers, and, in case of failure, it will receive a penalty of $ 2,000 for every worker in the company. Increment in Medicaid payments for doctors will take place in 2013 and 2014 to match the required Medicaid rate. The government will also pay the total Medicaid expansion cost until 2016, then 95 % in 2017, 94 % in 2018, 93 % in 2019, and 90 % in the following years. Medicaid patients will receive a discount on the cost of medical services.

The Obamacare Act included many reforms, which were scheduled to take place beginning in 2010. Policies will be issued without the application of any medical condition and community rating. Insurance coverage should be provided to an individual without discrimination and corruption. Shared responsibility, also called individual’s mandate required, that each person, whether working in an organization or not, should take insurance coverage or else pay the penalty. The excepted people include members of various religious groups excepted by the act from taking insurance covers. The commencement of health insurance exchanges will take place in all states, with families below the poverty line receiving federal subsidies.

Other reforms include Medicaid taxation for individuals above the poverty level. The annual and lifetime insurance policies will be burned with an introduction of the minimum standard establishment. The business, which will purchase insurance through the exchange, will get subsidies. These reforms, provided by the two acts, have managed to benefit Medicaid and Medicare populations.

The Implication of the Acts on Specific Consumer Population

The policies will lead to a reduction in the number of uninsured people. The number of insured people will increase to 30 million. In 2019, after the full provision of the bill, only 25 million people will remain uninsured. The uninsured groups will be illegal immigrants, individuals not covered but ready to pay the penalty, the unenrolled citizens in the Medicaid dispute, people with low income excepted from paying the penalty, and people living in states which do not value Medicaid expansion.

High-class people or individuals with high incomes will be affected through payment of Medicaid expansion tax. People with low income will also suffer as they will have to take insurance coverage. They will not manage to get enough funds for insurance coverage. This will lead to poverty among the poor. Insurance companies will benefit because they will get more customers as many people will take insurance coverage to avoid penalty payments. Companies with more than 50 employees will suffer. They will be forced to pay coverage for their employees or pay a penalty of $ 2000 for each employee uncovered. The acts will not affect a single group of consumers but many people. People in demand of insurance coverage, Medicaid services, and healthcare services will be affected either negatively or positively.

Care Systems

The universal health care system provides services to people with respect to social and market situations. The services delivered in the systems ensure that marketing standards are maintained. Socialized health care considers the social aspect in the delivery of services. The ability of individual income and social class determine the amount of fee to pay or the kind of services to receive. The high-class people receive better services than the low-class people. In a market-driven, services are delivered in respect of market trends. The marketing of health services takes place, and the promotion of health facilities takes place. In treatment, individuals are requested to take health insurance covers in order to promote insurance companies’ products.

System Model Represented by the Acts

The acts, in general, represent socialized and market-driven models. The acts deal with the social aspect and take care of the market issues. The payment of insurance policies and taxes includes people at a certain income level. The charges consider the ability of an individual to get money. It also respects people’s social life and ensures all the people in the society do not suffer. In the taxation of lower-income people, psychological problems can evolve. The acts ensure that every person in the community does not develop sociological and psychological problems. Making sure that every person takes insurance coverage ensures that people in America will live a healthy life, hence, promoting social life. A society with healthy people develops because people work together to ensure economic stability. A static economy helps in the reduction of sociological problems. The acts represent the socialized model.

The acts also promote the market for medical facilities and services together with insurance policies. The acts are set in a way that ensures that every person acquires insurance coverage. This promotes the market and increases sales of insurance policies. Through taxation, individuals facilitate for expansion of Medicaid. This is another form of marketing. The two acts are more concerned with the market and social life. Individuals without cover will pay penalties which will also be used in the market expansion. The acts have provisions that require people to participate in Medicare and Medicaid services.

The Implication of the Act on Medicaid Recipients

Mostly, the acts provide provisions for Medicaid recipients. The acts are aimed at expanding Medicaid services. The service recipient will receive high-standard services due to the perceived improvement. People with high incomes will pay taxes to expand the operation of the Medicaid group. Many people in different states will have access to Medicaid services. The government will fund Medicaid services until 2016 and provide a certain percentage in the following years. People receiving Medicaid services will enjoy it a lot because the government will fund the operations. Most people will receive the services for free or at lower rates. Insurance coverage will be provided for every person, and people with low incomes will receive subsidies. This shows that the Medicaid group will provide services to people disregard of social class or ethnic group. Discrimination in services provision will not take palace. People will be treated with respect and honor.

Reasons for Improvement of Health Status in America by the Acts

The act will improve health care status in America because of many reasons. First, the government will fund Medicaid expansion up to 2016 with the provision of a certain percentage in the following years. This will ensure that Medicaid has enough facilities to affect its operations. The government will also make sure that the expansion takes place before 2019. Government involvement in the issues shows that the provision of the acts will not be compromised. Secondly, the acts require that every person should take health insurance coverage. This will ensure that all people in America have access to Medicaid and Medicare services. This will reduce the death rate and ensure the health of all people. Thirdly, the acts require that companies with over 50 employees should take cover for their employees. Fourthly, the acts will ensure low-class people get subsidies, and, finally, the acts are determined to ensure that discrimination in service provision does not take place.

Conclusion

The two acts work to reform health services. The acts promote financial, market and social issues. They work to assurance of proper and effective healthcare services. Every person should work to promote the provision of those acts.

📎 References

1. Arthur Feldman, (2012). Understanding Health Care Reform. Boston: Routledge.
2. Grace Budrys, (2011). Our Unsystematic Health Care System. California: California University Press.
3. Lawrence Jacobs, (2012). Health Care Reform and American Politics. New York: McGraw-Hill Press.
4. Luis Vivar (2011). Obama’s Health Care Reform 2010. New York: McGraw-Hill Press.
5. Staff Post, (2010). America’s New Health Care Law. Boston: Routledge.