The Obamacare price for the Affordable Care Act’s state exchange premium pricing have been released.
As previously reported by The Inquisitr, the cost of Obamacare is said to be too pricey, with critics claiming the Affordable Care Act could sink the economy.
Obamacare’s price to the American public has gone up over time. Originally, the CBO estimated the Affordable Care Act would cost $850 billion over 10 years, but the price for the healthcare law has since ballooned to over $1.76 trillion and growing. Because of Obamacare’s price, Republicans are threatening a 2013 government shutdown if the Affordable Care Act is not defunded.
But while Congress is bickering over the October 1 government shutdown, most Americans care more about what the Obamacare price for premiums will be come on the day of Obamacare’s launching (yes, the two events happen to coincide). As it turns out, the average Obamacare price on the state exchanges for a mid-tier plan is expected to be around $328 per month.
The Obamacare price also changes depending on where you live and what options you want. For example, the Obamacare price for an individual could be as low as $70 per month but as high as $1,200 monthly for a family of four on a “moderate” plan. It gets even weirder. One person living in Austin, Texas earning $25,000 could potentially pay $85 while a family of four living in St. Louis might only pay $32. Overall, the Obama administration believes about 56 percent of the 41 million uninsured will pay an Obamacare price of $100 or less.
But that average Obamacare price of $328 does not include the subsidizing provided under the Affordable Care Act. Tax credits will be available to uninsured individuals who have incomes between $15,860 and $45,960. A family of four can receive tax credits for incomes between $32,500 and $94,200. Employees who pay more than 9.5 percent of their wages to participate in an employer’s health plan may receive tax credits. Employees whose employers pay less than 60 percent of the health benefits may also qualify for the Obamacare price.
The self-employed, and workers at businesses not offering health insurance, will need to file paperwork showing what they estimate their family might make in income over the next couple years. But beware that Obamacare subsidies come packaged with Obamacare tax surprises if your estimates are too far off.
Caroline Pearson, vice president of health reform at the consulting firm Avalere Health, believes that a low Obamacare price might come with a cost of its own:
“Despite the fact that the premiums are lower than expected, enrollees on exchanges are likely to face very high out-of-pocket costs before they hit their cap, and they are at risk of being in very narrow network plans that may or may not include all the providers they need access to.”
According to the Manhattan Institute, people who are already on low cost private health insurance plans might find the rates jump as much as 24 percent.
The Obamacare price marketplace under the Affordable Care Act’s state exchanges will be accessible come October 1 at www.healthcare.gov or by calling (800) 318-2596. All employed Americans are required to enroll by January of 2014.