Health Care Reform’s Effects in the First Year

Now that the United States has passed health care reform, many people are wondering what this means for them. Here is a general overview of changes that will be coming within the first year of the health care reform’s passage.

First, additional rules will be put in force to regulate insurance companies. The insurance companies can no longer drop people purely because they get sick, and limits on your health care expenses over your lifetime have been removed. In addition, children con no longer be barred from receiving medical insurance because they have a preexisting condition, and people under the age of 26 are now allowed to stay on their parents health insurance plans. These programs serve as ways to resolve issues with insurance companies offering insurance only until you actually get sick.

The next area of the bill for this year is the expansion of medicare benefits. Medicare drug users will find that they receive a $250 payment to cover a portion of the out of pocket expenses when they spend between $2,700 and $6,154 (an area of coverage that is currently exposed). While adults aged 55 to 64 will not be covered by medicare in the first year, they will be instated into a temporary insurance program until 2014.

Finally, the new bill will place a ten percent tax on tanning services that use ultraviolet lamps. Many people find themselves confused by this piece of legislation, but the rationale is that these services cause long term health effects and so, they should pay a portion of the costs.

While the bill has significantly further reaching impact than this, these are the changes that will go into effect in the first year.