POL S 170 Lecture Notes - Lecture 11: Health Insurance Mandate, Patient Protection And Affordable Care Act
Document Summary
Requires most u. s. citizens and legal residents to have health insurance by 2014. Creates state-based american health benefit exchanges through which individuals can purchase coverage. Penalty for non-compliance of or 2. 5 percent of taxable income by. 2016 with annual increase , but some exemptions o. Cost sharing credits for those between 133 and 400 percent of federal poverty level. Employer requirements and subsidies: assesses firms with> 50 employees that do not offer coverage per full time employee effective 1/1/14 exempts employers with 50 or fewer employees from these penalties o. Provides a tax credit to small employers with no more than 25 employees and average annual wages of < ,000. State-based insurance exchanges: marketplaces for individuals and small businesses to purchase insurance. Can be administered by a government agency or a non-profit organization. Must offer four levels of benefits, plus a low-cost catastrophic plan for those under 30 years.
