What's Obamacare (in as few words as possible)?

We all hear the term used, but what does it really mean? Obamacare is the term many have come to use when referring to the Affordable Care Act (ACA). This was a complex piece of legislation intended to reform the US healthcare system. Without getting into the politics of it all, here are a few of the key impacts of the ACA:

  • All individuals are required to have health insurance, and face a penalty if they don’t have minimum coverage
  • All health insurance plans for individuals (those not on a group employer plan) must meet the same criteria and offer the same minimum benefits
  • Individuals cannot be denied coverage based on pre-existing conditions
  • Tax credits (subsidies) are offered for individuals who meet the eligibility criteria based on their income and household size
  • Healthcare.gov was established to enroll individuals who qualify for a tax credit.

Important to Note: Obamacare is not a specific plan, it's the law and regulations that govern all health plans whether you purchase on Healthcare.gov with a tax credit or directly from a private insurance company or from online brokers like us!

There’s a lot more in the details of the ACA, and it’s likely to be a work in progress in the years to come.  However, these basics cover most of the key information for individuals.

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