What will change with the health care reform in the US

After last nights historic passing of the Health Care bill by a comfortable 219-212 vote, many Americans are still unsure of how this will impact their lives or what is expected of them.

The reform of the health sector in the United States, adopted on Sunday, establishes significant changes in the existing system. Some of the innovations come into force when President Barack Obama endorses the reform, but many of them only came into effect from 2014. In practice, all Americans will be required to have a health plan, under penalty of a fine if they don’t comply.

Thus, the government expects that about 32 million citizens who do not have coverage at the moment, will start to be protected. Many of these people do not have health insurance simply because they cannot afford it.

To change this, it is expected that about 24 million people will now receive tax incentives to pay for their own health care insurance. Another 16 million will be given access to Medicaid, the public health plan financed by the government for low-income population, which will be expanded.

Too sick

Another important change is that healthcare companies can no longer reject new clients by considering them too sick, a common practice in the United States.

Many Americans have health insurance through employers, through salary deductions, and this should continue. But those who currently have coverage, or are self employed professionals, will also be able to join the health plan. The reform also helps those who use Medicare, the public health care plan for Americans over 65 years of age.

Currently, patients have to pay for prescription drugs in excess of US $2,700 per year, and only qualify for reimbursement by Medicare when the cost of these drugs is US $6,154.
The new legislation will give these patients better repayment terms and discounts on some drugs. Under the health plan, young people may continue as dependents of their parents until they complete 26 years. Currently, many companies do not accept dependents over 19 years of age, or when they finish college.

Winners and losers

Among the biggest beneficiaries of the reform are clearly those Americans who currently do not have health insurance. But other sectors and individuals will also benefit. Although forced to accept an increase in health regulations, health insurance companies will potentially have millions of new customers.

As there will be more coverage, more patients could pay hospital bills, doctors and medicine, which would be beneficial to hospitals and pharmaceutical companies. But the wealthiest Americans will inevitably have to pay more taxes to finance the scheme.