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Health care in the US has been a significant contention source, especially after the passing of the Affordable Care Act. The new health legislation was a significant move for the US towards providing universal, affordable care to its citizens. However, some associated issues have plagued the healthcare system, causing the need for healthcare reforms. According to Doyle et al. (2017), people agree that the healthcare system wastes the country’s GDP as much as 5%. The main reason why there is a need for healthcare reforms is that healthcare costs have skyrocketed. For instance, an average family consisting of four family members increased their average costs by little over 7%. US healthcare is in dire need of improvement. The US is among the most developed countries in healthcare, but its healthcare spending is at an all-time high, with poor patient outcomes. The third reason for healthcare reforms is to curb the economic ramifications of healthcare fraud. The US loses between just over 50 billion to nearly 200 billion every year to fraud. The government could direct the money to offset the cost of Medicare.
2- The Benefits
According to the Centers for Medicare and Medicaid Services (2016), there are ten crucial benefits. They include ambulatory patient services, hospitalization, mental health, substance abuse disorders, habilitative and rehabilitative devices and services, preventive and wellness services, and chronic disease management. The other five are emergency services, maternity, and newborn care, prescription drugs, laboratory services, and finally, pediatric services, which also include vision and oral care.
3- The Successes of ACA
For instance, ACA has allowed young people to remain under the coverageof their parents’ medical plans until they reach 26. In the past, insurancecompanies disallowed coverage once the children attained the age of 19. Byallowing cover for children, it increased the rates of young people withinsurance coverage. ACA also insured the preexisting conditions of thepopulations. In the past, insurance companies denied coverage to people withpreexisting conditions. These conditions also include injuries and medical illnessesthat people have before the commencement of their health plans. It alsoprovided cheap and affordable insurance premiums, providing insurance to alarge number of American citizens. The law also required employers who had morethan 50 employees to cater to their workforce’s health insurance, ensuring thatemployees had access to medical cover. Failure to comply with this resulted inemployers paying a fine.
4-The Failures of ACA
Unfortunately, the law has also had some failures in the course of its existence. For instance, the healthcare costs have continued to rise despite claims made by proponents. Another failure is that since its inception, the law had massive public opposition. Polls taken after its enactment showed this, and proponents claimed that it would rise in popularity over time. That has not been the case, with many people wanting the law repealed. The law was especially unkind to businesses with large numbers of employees as they had to cater to the health insurance requirements of their employees. Businesses had to drop many of their employees to a part-time status not to face the wrong side of the law. Another failure is that the government runs the program. Many conservatists believe that market-based solutions to healthcare are better than the government. Their thoughts are that providers are likely to offer better services when consumers make choices at a much lower cost.
Centers for Medicare and Medicaid Services. (2016). Information on essential health benefits (EHB)
benchmark plans. The Center for Consumer Information & Insurance Oversight. //www. cms.
gov/cciio/resources/dataresources/ehb. html (Accessed Nov 22, 2016).
Doyle Jr, J. J., Graves, J. A., & Gruber, J. (2017). Uncovering waste in US healthcare: Evidence from
ambulance referral patterns. Journal of health economics, 54, 25-39.
Edited by JENNY TASE on Oct 6, 2020, 10:38:30 PM
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