What is the Affordable Care Act?
The Affordable Care Act (ACA)—also known as Obamacare—is a law passed in 2010 to make health insurance more affordable, accessible, and fair for everyone in the U.S.
What Does the ACA Do?
- Helps you get health insurance
- You can shop for insurance on the Health Insurance Marketplace (HealthCare.gov or your state’s site).
- It offers subsidies (money from the government) to help lower the cost for people who qualify based on income.
- Protects people with pre-existing conditions
- Insurance companies can’t deny you or charge you more if you have an illness or health issue.
- Covers essential health benefits
- All ACA plans must include things like:
- Doctor visits
- Hospital care
- Prescription drugs
- Mental health care
- Maternity care
What Are the ACA Plan Levels?
ACA plans are grouped into metal tiers—but they don’t affect the quality of care, just how you and the plan share the costs:
Metal TierWhat You PayWhat the Plan PaysBronzeLow monthly cost, high out-of-pocket~60%SilverModerate monthly cost and out-of-pocket~70%GoldHigher monthly cost, lower out-of-pocket~80%PlatinumHighest monthly cost, lowest out-of-pocket~90%
Silver Plans are special: If you qualify for extra savings (Cost-Sharing Reductions) based on income, you must choose a Silver plan to get them.
Who Gets Financial Help?
If your income is between about 100% and 400% of the federal poverty level (or higher in some states), you may get:
- Premium tax credits: Lower your monthly payment.
- Cost-sharing reductions: Lower your deductibles and copays (only on Silver plans).
Who Should Use ACA Plans?
- People who don’t get insurance through a job
- Freelancers, gig workers, or early retirees
- People who lost Medicaid or job-based coverage
A great alternative to the ACA is LIFE X health insurance.
Click here to make an appointment.
Email us at team@smartinsurancestrategies.com
Call us at 704-940-6654
Text us at 704-360-0462
Sign up for LIFE X here.