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What Are The Exemptions Under Obama Care or The Affordable Care Act?

What are the Exemptions Under Obama Care or The Affordable Care Act?

Before talking or discussing the exemptions of Obama Healthcare reforms, it is pertinent for us first to understand what Obama care reform is and what are its necessary implications?

Obama care, what does it do?

Obama Healthcare reforms is a milestone set for the development of the health sector in the United States of America. In March 2010 a new healthcare reform drifted or came into being in the States under the supervision of the then President of America, Barak Obama. The transformation nicknamed as Obama Health Care Reform. In the United States, the improvement executed under the United States Congress. Previously Obamacare was known as The Patient Protection and Affordable Care Act (ACA). And the plan with due consideration from President Obama gathered momentum and achieved prominence. “Obamacare” the pseudonym of Affordable Care Act transformed the healthcare and health insurance sector in the country. The opponents of Barak Obama first coined the term “Obama care”, and the President cuddled the term. As per his perspective, the name suggests care and affection for the Americans and their health. The Patient Protection and Affordable Care bill mainly focus on the healthcare section or segment in the United States of America. The legislation made radical changes across the country. It helped to reconstruct the total medical set up as well as the fiscal scenario of the United States of America. The significant provisions of the act rapidly swiped the country and helped to increase the competence of the health or medical sector of the country. Obamacare helped to increase the number of ordinary people holding a health insurance policy. As a result of which the population without healthcare insurance or uninsured area of the mass decreased rapidly. According to analysis and reports around 20 million people after the reforms came under the coverage of health insurance because ACA made it mandatory for citizens to hold a health insurance policy. The boost was also due to the introduction of new taxes, rate cuts, new investments to the Medicare provider and Medicare Advantage plan. This rise also majorly changed the financial as well as the budget sector of the health industry in the United States of America. It revamped the individual insurance market; people purchased their policies and Medicaid which is a program for the lower income group in America expanded rapidly. In general, there is thinking or sense of thought that Obamacare has only affected or has made a mark in the health insurance segment of the society. But it has significantly altered the healthcare sector of the country. As per specific statistics and data analysis, the ACA reform reduced the overall deficit in the Federal budget drafted by the authority. It was after implementing the Patient Protection and Affordable Care bill that extensive changes noticed in the health sector as a result of which the overall charges and cost for health and medical industry decreased. It changed the manner of paying salary to the doctors or medical practitioners. The ACA law touched every section of the health industry from hospitals to preventive services, manufacturers of medical devices, pharmaceutical companies and many other essential sectors. The laws compelled the insurance market and the insurers to charge the rates as prescribed by the statements of the law. Every policyholder as well as policy seller after the introduction of the legislation became bound to or was compelled to follow the stated norms disregarding pre-existing conditions of people.

The goal or target of Obama Health Care reform.

  1. The primary goal that Obama care carved under the below-mentioned categories-
    1. a) Expanding the health insurance sector among ordinary people, to cover the maximum number of people under the roof of health insurance.
    2. b) To reform or to improve the private insurance market through which especially individuals and small group purchasers or business owners can effectively become beneficial.
    3. c) To effectively focus on the health and medical scenario of the Americans prevailing in the lower and middle-income group of the country.
    4. d) The plan throws light on changing the overall structure and situation of the medical and health-related segment of the United States of America.
    5. e) The health care reform program provided unique benefits for the elderly or aged persons obtaining an age of sixty-five years or above.

Essential Significance or connotations of Obama Care health reforms.

While learning about Obama Care reforms, the knowledge would remain incomplete without giving a glimpse into the essential features of the bill. The legislation states that-

  1. i) The Affordable Care Act or Obama care prohibits policyholders from the crumbing policy at the time of their sickness or when they fell sick.
  2. ii) Children, who were not having any health insurance from their families formerly can now apply for and purchase one. It further states that a child irrespective of sex can remain under coverage of health insurance of parents under the age of 26 years provided if they are not married.

iii) Obama care offers special provision for patients having pre-existing conditions or suffering from chronic diseases.

  1. iv) The law bids specific health benefits to its citizens that involves skilled and experienced supervision from nurses. Care provided in hospitals and medical centres, providing active maternity as well as childcare.
  2. V) The legislation mentions a particular chapter that reveals that emergency services like ambulance, doctor care, urgent hospitalisation covered under health insurance plan and the insurance providing company cannot charge extra cost for the same.

Vi) It states for essential care that includes services of mental and behavioural health, reduced cost of prescription drugs as well as other wellness programs.  

When can a person claim for exemption?

Most of the exemptions for health care insurance or health care plan claimed when filing for federal income tax. Usually, most of the health coverage exemption plan contended by using 8965 form while filing an income tax. If a person is not required to file a federal income tax because of his or her blatant income is not up to the benchmark set for submitting the federal income tax. So, in this case, those individual needs not to show their health or medical insurance coverage or submit an income tax file to prove their health insurance coverage. But instead, of a person is not marking up to the threshold of providing income tax yet want to file an income tax return submission can fill up part or portion II of the 8965 Form for the household claim.  Other coverage exemptions while acknowledging an income tax filled through piece III of the 8965 Form.  

What are exemptions of the Affordable Care Act?

 Under the Patient Protection and Affordable Care bill it is compulsory for every citizen of the United States of America to obtain or to own a health insurance plan. And if any American does not have a health insurance plan can fetch penalty for himself or herself.   While the health care reform makes it mandatory to own a health insurance policy at the same time also provides or states for certain exemptions in the bill that can indeed help the citizens to procure one. The individual responsibility or individual mandate chapter of the Affordable Care Act (ACA) states for some norms to follow for qualifying to have health coverage. It also held individuals responsible for paying when they opt to file their federal government taxes. As per the recent Tax cut and job bill every individual needs to publish their health insurance coverage when filling for their income tax.   Claim your exemptions before filing for your income tax.   Most of your Obama care exemptions for health insurance policies to be claimed while applying or filling an income tax. But in some cases dispensation to be granted by the health insurance service provider before asking for the federal income tax. In case of certain hardship situations, tax exemptions to be claimed before applying for the federal income tax.     The hardship situation may include, or hardship situation exemptions elaborated below-

  1. i) Expulsion or dispossession foreclosure.
  2. ii) The condition is arriving form homelessness.

iii) Victim of domestic violence.

  1. iv) Hardship situation arrives after receiving a notice of shutdown from a service company.
  2. v) Exemption received from the sudden death of a family member
  3. vi) Experiencing damage of property from any natural or human-made disaster.

vii) A situation is occurring from a substantial deficit received from medical expenses that one cannot pay. viii) A condition is leading to registering for bankruptcy.

  1. ix) You were marked ineligible or not qualified for Medicaid because your state did not turn up for Medicaid expansion.
  2. x) An unexpected rise or increase in illness is occurring while caring for an ageing or disabled family member.
  3. xi) To provide medical support to a child who is dependent on the family and who has been denied coverage by Medicaid or CHIP.

xii) Hardship exemptions you can be eligible for provided you dismissed for “grandfathered” individual health insurance plan for not fulfilling the norms of the Affordable Care Act and you consider other marketplace health insurance plans are unaffordable for you.   Exemption under ACA for religious groups.   Under the Affordable Care Act exemptions, certain provisions state that representative from a particular religious group, central government-affiliated tribal sections or members of the healthcare ministry having severe objections from health insurance plan can apply or opt for exemptions.   Exemption based on projected income.   A marketplace or exchange approves dispensation to be allowed to an individual who does not have access to health insurance plan based on projected income.   Exemption based on Medicaid income by the State.   Exemption to an individual to be offered based on the state where he or she is dwelling, as the Medicaid plan not extended to that particular state under the Affordable Care bill.   Auxiliary dispensation or exemption.   An exemption under ACA provided to individuals living in abroad countries, serving a tenure or term in jail, family member increased due to adoption or certain death of a family member providing or contributing in tax.   How to claim exemption on your tax return?   Filing for tax exemption is not a complicated task to accomplish. In most situations, Health insurance exemption claim made through the Internal Revenue System or IRS 8965 Form during filing for federal income tax return.   How to claim exemption on your tax return?   Filing for tax exemption is not a complicated task to accomplish. In most situations, exemption claim made through the Internal Revenue System or IRS 8965 Form. Pay rigorous attention and care when filling up the form. If you do not apply for health insurance, then you will need to bear the total cost of medical expenses.

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