Lesson 1: The History of ACA

Hi, my name is Brandon from Agent Elevate, and welcome to the history of ACA. In this lesson, we will discuss the creation of the Affordable Care Act, how it started, and why it started. by the end of this lesson, you’ll understand what the Affordable Care Act is and who benefits from it the most. So let’s dive in. ACA was created and signed into law March 23, 2010 by President Obama .The Affordable Care Act, also known as Obamacare. The purpose of it was to expand the access to health insurance, increase consumer protections, improve quality and system performance, expand the health workforce, and stop the rising costs in healthcare. Additionally, it would expand on the Medicaid program to cover all adults with income below 138% of the federal poverty level (FPL), which we’ll dive into here shortly. Initially, enrollees were required to get health coverage or subjected to a tax penalty, initially. This changed the healthcare system in the US. By reducing the amount of individuals and families paid in uncompensated health care. The Affordable Care Act required every American to have health insurance and provided assistance for those who couldn’t afford a plan up until 2016. In 2017, this requirement was removed under the Trump administration, meaning you did not have to have an ACA or credible health coverage. Prior to ACA, the insurance companies could deny individuals through their carrier’s underwriting. With ACA, it’s guaranteed coverage no matter what your pre-existing condition is. Meaning, if you had heart failure, cancer, or any other pre-existing condition, it doesn’t matter. You now have ACA coverage through Obamacare, ACA, The Affordable Care Act. To put this into perspective, up to 129,000,000 Americans with pre-existing conditions, including 17 million children, no longer had to worry about or be denied health coverage or charged a higher premium because of their health status. The law also has if you are under the age of 26, you could be on your family’s plan up until the age of 26. There’s ten essential benefits when it comes to an ACA covered policy. Those are prescription drugs, pediatric services, preventive and wellness services and chronic disease management, emergency service, hospitalization, mental health and addiction services, pregnancy, maternity and newborn care, ambulatory patient services and laboratory services, and finally, rehabilitative services and devices. All that meaning these are all ten credited essential benefits that you have to have on the ACA side. Throughout 2020, m aintaining health insurance coverage was one of the many challenges faced by the Americans who lost their jobs or who saw a reduction in their income due to the pandemic. So, in 2021, President Biden signed the American Rescue Plan, which went into effect April 1, 2021 for the ACA side. The American Rescue Plan ensures access to health care coverage for people who are receiving unemployment compensation. This provided financial relief to Americans struggling with the fallout of the COVID-19 pandemic. Finally, in 2022, President Biden signed the Inflation Reduction Act. The Inflation Reduction Act extended subsidies and premium tax credits through 2025. Without this being introduced, healthcare premiums would have skyrocketed. Additionally, there would have been major increase of costs in prescription drugs. Moving forward, individuals and families can have the peace of mind knowing that they still have access to subsidies or that premium tax credit, making their health care coverage affordable. Well, this wraps up the history of ACA. Thank you for taking the time and look back at the history of the Affordable Care Act and how it has evolved over the years. Join me in the next lesson today’s version of the Affordable Care Act. But first, let’s please take a brief quiz to test your knowledge.