Health care 101

The Health Care and Education Reconciliation Act of 2010 has many implications for students. New health care and financial aid options have opened up, and the Accent has full coverage on how the new law will affect students.

Last time 23-year-old psychology major Keegan Frick was sick, she avoided going to the doctor because she doesn't have health insurance.

In the end, Frick waited so long to seek help that she developed pneumonia and needed to go to the emergency room. She fully recovered but is still trying to pay off nearly $1,000 in medical bills.

"I don't have health insurance because I work as a waitress, so I can't get it through my employer," Frick said. "I am also not able to use my parent's insurance because she cannot afford the premium costs to add me."

Students like Frick will benefit from the new Patient Protection and Affordable Care Act that was signed into law as part of the Health Care and Education Reconciliation Act of 2010 (H.R. 4872) by President Barack Obama on March 23.

How it affects students

"The most immediate effect for students will be that they can stay insured under their parents' insurance until they are 26 years old," Rep. Lloyd Doggett, D-Austin, said.

Doggett voted yes on the bill and represents District 25 in which part of the ACC District is located.

According to the bill, H.R. 4872, this measure will take effect six months from now in Oct.

Currently, young adults residing in Texas have been eligible to remain on their parent's insurance up to their 25th birthday, according to Texas House Bill 1446.

Students who are not eligible for their parents' insurance will be able to sign up for insurance through  state-run health care "exchanges" starting in 2014.

Exchanges will provide the uninsured with an insurance marketplace where they can choose from different levels of insurance coverage, according to a report from the Kaiser Family Foundation.

Those who are insured through employers or have private insurance are welcome to sign up for an insurance plan from the exchange if they choose to.

Subsidies will be available in the form of tax credits for individuals making up to four times the federal poverty level, which is $43,320 for a single person, according to an Associated Press report. The credits will vary based on income and premiums costs.

Another option that will be available to the uninsured is the choice to enroll in Medicaid, a U.S. health insurance program that provides care to qualifying people who cannot pay for their own medical expenses.

Starting in 2014, anyone with an income below 133 percent of the poverty level — or about $29,327 in 2009 for a family of four — will be eligible for a rejuvenated Medicaid program, according to the New York Times.

Controversy behind the bill

Democrats and Republicans have been at odds over this bill because of a specific mandate that makes it mandatory for all U.S. citizens to have some form of health insurance.

The mandate is stated in H.R. 4872. Attorney Generals from 14 states, including Texas Attorney General Greg Abbott, R-Texas, are suing the federal government over the Patient Protection and Affordable Care Act, according to the New York Times.

A March 23 press release from Abbott's office explains that "the new law infringes upon Americans' constitutionally protected individual liberties; encroaches upon the states' constitutionally guaranteed sovereignty; forces states to spend billions of additional dollars on entitlement programs; imposes an unconstitutional tax; and violates the Tenth Amendment of the United States Constitution."

The Democratic Policy Committee has rebutted that the mandate is constitutional because "Article I, Section 8 of the Constitution Grants Congress the power to enact the Individual Responsibility Policy."

Health care responsibilities

Due to the passing of the health care reform bill, average students like Frick may receive additional help when it comes to paying for costly medical bills.

In the future however, students will need to determine how they will pay for their health insurance they choose to enroll in as it will be mandatory in 2014.

Students and all who are uninsured will initially pay a penalty for not having insurance. The penalty will be phased in, starting at $95 or one percent of income in 2014, whichever is higher, and rising to $695 or 2.5 percent of income in 2016, according to the New York Times.

More information about future changes to health care:

Health care exchanges

A lot of unknowns when it comes to how the government plans to implement the health care exchange on 2014, however here is a breakdown of what we do know:

Health insurance exchanges will have four levels of benefits to choose from. Each plan will cover essential health benefits, plus four tiers of coverage. Some essential benefits include emergency service, hospitalization, maternity and newborn care, prescription drugs, lab services and pediatric care.

• The BRONZE Plan will offer the essentials: minimum cost-sharing protections that will cover 60 percent of the full value of the benefits.

• The SILVER Plan offers the essentials, plus more: cost-sharing protections that will cover 70 percent of the full value of the benefits.

• The GOLD Plan offers the essentials, plus more: cost-sharing protections that will cover 80 percent of the full value of the benefits

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• The PLATINUM Plan offers the essentials, plus more: cost-sharing protections that will cover 90 percent of the full value of the benefits.

                  Source: H.R. 3950, Part IV - State Flexibility to Establish Alternative Programs