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Many pieces of the 2010 federal health care law have already been implemented; however there are many challenges that lie ahead. The Supreme Court should arrive at a decision next week regarding these challenges.
Here are some of the items which are slated to be in effect by 2014 when the new health care law takes full effect:

    • Part of the new law would require citizens to have health insurance OR else be subject to pay a fine. An example of the fine for a family would be $2,085 or 2.5% of the household income. For an individual, the fine would start at 1% of income, but likely the fine will increase as years pass.


    • Medicaid, the state-federal program for the poor & disabled would be expanded to cover individuals making less than $14,856 a year or $30,0656 for a family of 4 would now be eligible. Does the government have the means to fund this exansion? This is likely being considered by the courts.


    • For those who are not eligible for Medicaid, but still cannot afford to pay for insurance, the government would offer subsidies to help pay for the health insurance premiums. The subsidies are expected to be made available to individuals and families between 133% and 400% of the poverty level which translates to $14,856 to $44,680 for individuals & $30,656 to $92,200 for a family of 4.


    • Another big change to health insurance if the law succeeds in implementing the current plan is that health insurance carriers will no longer be able to reject any individual due to health status once the exchanges are operating in 2014. This sounds great to individuals, but is part of the health law which is stirring up the consideration by many health insurance carriers as to whether they would be able to survive in this type of environment.

These changes still need to survive the Supreme Court’s decision before beginning to be implemented.
We will keep you posted as changes develop with the slated health insurance law.
If at any time you would like more information or have questions regarding the changes, or would like to inquire about obtaining health coverage please feel free to contact Mike Fields at 610-898-6532 or mfields@galleninsurance

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