Junk insurance plans that don’t meet the standards of the Affordable Care Act are one of the biggest holes in the patchwork that is the U.S. health insurance system. These plans are typically short-term policies that often discriminate against people with pre-existing conditions and aren’t required to provide coverage for basic services like maternity care, prescription medications and more, according to Aimed Alliance.
By signing the Inflation Reduction Act (IRA) on Tuesday, August 16, President Biden made history by continuing a 12-year trend to reduce the number of nonelderly Americans without health insurance.
Health insurance premiums will cost $10 or less each month next year for four out of five consumers shopping for health insurance on the Affordable Care Act (ACA) marketplaces, the Biden administration announced on Monday. The savings come from higher subsidies for most Americans that Congress passed last spring under the American Rescue Plan Act (ARPA).
On Monday, Nov. 1, open enrollment for ACA plans will give consumers the widest variety of health insurance options and the lowest prices ever, said Health and Human Services (HHS) Secretary Xavier Becerra. Also, HHS quadrupled the number of health insurance navigators available to guide consumers seeking information on how to sign up, and added an extra month to the open enrollment period, which ends on Jan. 15.
According to Becerra, health insurance costs are the lowest ever because the ARPA increased the subsidies for monthly premiums through Dec. 31, 2022. Technically, those increased funds are called enhanced premium tax credit subsidies, the Center for Health Insurance Reforms explained in a recent blog post about open enrollment.
With just over a week to go in June, the Affordable Care Act has already had a very successful month in two important ways.
First, the ACA hit a record for enrollment, topping 31 million Americans since the law went into effect in 2014, according to a report the federal Department of Health and Human Services (HHS) issued earlier this month. And, second, the ACA survived a challenge at the U.S. Supreme Court, as we reported last week.
To reach that figure of 31 million, the HHS report included the 20 million who have gained insurance through the marketplaces under the ACA itself and through other ACA insurance programs. Continue reading