People With Insurance To Pay $63 Per Year For Those With Preexisting Conditions

By Cornelius Nunev


If people want the government to cover stuff, that cash has to come from somewhere. That means taxes, and the tax required to pay for people with preexisting problems to get insurance under the Affordable Care Act will cost everyone with insurance $63 each year.

Tax to cover preexisting problems takes impact in 2014

People should be able to get insurance coverage if they are willing to pay premiums no matter what the situation is. Even people with preexisting medication problems should have the ability to get covered.

Because of the Affordable Care Act that was passed by the Obama administration, insurance corporations can no longer exclude those with preexisting problems. The money has to come from someplace to help pay for it though.

The additional expenses on insurance corporations means the people left holding the check are those that already have insurance and the companies who purchase it, according to CBS. It doesn't kick in until 2014, but $25 billion has to be elevated between 2014 and 2017.

Yearly cost of $63

Everybody currently insured will have to pay a fee, according to ACA's text, in order to pay for the preexisting conditions. Every business that gives insurance to employees will have to pay the fee, and about 190 million people who get insurance through companies will end up having to pay the fee.

The fee is going to be passed to companies on a yearly basis of $63 per insured person. That means the bill is higher for large businesses and not so bad for small corporations. The fee will likely be passed down to employees at an extra $5.25 a month to get it all paid. It may not cause you to run for payday loans to pay the rent, but it could seriously impact people on tight budgets.

The good news is that the fee will drop from $63 in 2014 to $50 the next year. Annually, it will decrease until 2017 when it phases out altogether.

Should be called the Robin Hood bill

The ACA also says that $700 billion needs to be raised over ten years on top of the $25 billion to cover preexisting condition expenses. A number of people end up losing money when they have to pay for others to get health insurance, regardless how nice of an idea it is.

Many people are seeing their premiums increase slowly because of the health care law. Last year, only 10 percent of businesses with over 500 workers increased health insurance premiums. This year, another 12 percent did so, according to HR consultancy Mercer. People are going to be paying more next year for health insurance than this year too, according to the Washington Post.



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