A lot of people are worried about the penalties they may have to pay under the health reform law, but they’re not as far-reaching as most people think embedded flash videos. Here’s why:

Most people already have health insurance.

While there are about 50 million people without health insurance in this country, that’s only about 16% of the U.S herunterladen. population. The fact is that most people already have health insurance.

  • The majority of seniors are covered by the Medicare program, so they already satisfy the individual mandate requirement and will not pay a penalty super mario kart kostenlos downloaden.
  • People below 100% of the Federal Poverty Level qualify for Medicaid. As long as they sign up, they can have health insurance at no cost and will satisfy the individual mandate requirement herunterladen. And Medicaid is being expanded to 133% of the Federal Poverty Level in a number of states.
  • Millions of children are eligible for CHIP, the Children’s Health Insurance Program download windows live mail 2012. Eligibility varies by state, but it tends to be higher than the Medicaid cutoff level. As long as their parents enroll them in this government program, they, too, satisfy the mandate requirement download songs directly to your mobile phone.
  • Millions of employees have health insurance available through their employer. Those who take advantage of it will satisfy the mandate and avoid a penalty herunterladen.
  • Millions of individuals purchase coverage in the individual market. While they may have to modify their plans to comply with the new requirements, these individuals also satisfy the mandate requirement and will not pay a penalty antenne app.

The penalties aren’t that big.

At least not at first. For 2014, the individual mandate penalty starts off at $95 per adult or 1% of household income, which is significantly less than the cost of health insurance for most people plants vs zombies 2 free full version.

penalty chart 1

For people who are uninsured for only part of the year, the penalty is pro-rated: they pay 1/12th of the maximum penalty for every month they go without health insurance, but there is no penalty for a single gap in coverage of three months or less minecraft download pc kostenlos.

Lots of people are exempt.

The law allows for a number of exemptions from the individual mandate penalty:

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There are also a number of hardship waivers individuals and families can apply for that, if granted, would exempt them from the individual mandate requirement.

In summary

So, to sum it all up, most people already satisfy the individual shared responsibility requirements because they currently have health insurance coverage, and millions of others are exempt from the penalties. And for those are uninsured and not exempt, the penalty is much less than the full cost of health coverage, so many of them will choose to pay the penalty rather than buy health insurance. That’s probably not the best idea.

Exempt or not, everyone can benefit from catastrophic health insurance coverage. This was true before the Affordable Care Act was signed into law, and the incentives in the legislation make the argument even more compelling starting in 2014.