What Is Replacing Obamacare?

The new proposal from the Republican party to replace the Obama care health plan includes some already existing conditions, as well as yearly restrictions. However, it also removes children from their parents plans and increase the rates that elderly Americans can be charged, and abolishes subsidies completely for many people. It also lowers the amounts of subsidies for most private plans, as well as for Medicaid, restricting the Medicaid eligibility. The new proposed plan also rids tax credits for the middle class and furthermore takes away from certain parts of the law that assists Native Americans and immigrants.  It also takes away many of the other ObamaCare protectors, such as new rules for insurers and stopping gender discrimination.  The new proposal is a 9 page PDF entitled CARE, short for The Patient Choice, Affordability, Responsibility, and Empowerment act.

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The replacement plan takes away all of the curbing measures as well as consumer protections.  All the medicare reform is staying the same and it is restoring conditions that are already in place as well as yearly dollar limits. In the past, you could be charged more based on your gender or if you were sick.  Certain tax credits are lowered, and certain eligibility has been restricted. Some credits can’t be used for specific health plans that cover abortions that had once been in effect for situations such as rape, incest, and life of the mother.

The new plan eliminates subsidies and gives tax breaks to businesses.There are of course pros and cons of this new CARE plan, and depends on which perspective you are coming from and which demographic you are a part of.  When it comes to tax credits, millions of people will get tax credits, based on their age and income, in order to lower their health insurance costs. However, on the contrary, tax credits will be less open to everyone and coverage will be less affordable to all.  This tax credit reduction is especially harmful to those with low incomes.

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There are of course pros and cons of this new CARE plan, and depends on which perspective you are coming from and which demographic you are a part of.  When it comes to tax credits, millions of people will get tax credits, based on their age and income, in order to lower their health insurance costs. On the contrary, tax credits will be less open to everyone and coverage will be less affordable to all.  This tax credit reduction is especially harmful to those with low incomes.

An advantage of the program is that one must renew their plan. However unless you automatically renew your plan, the sole option is a taking the high- risk pool if you have a history of being sick.  But in order to renew your plan, it must be kept for life, and if you miss just one payment you could be forced into the high-risk pool with a lifetime of higher rates. Another change that is going to come about in the new plan is to rid children under 26 of their current coverage.

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However the plan aims to save taxpayers money, with tactics such as reducing Medicaid.  Although this leaves millions of people with health care since it will not be affordable. Medicaid will no longer be free and only those who qualify to receive a credit.

Without having these benefits and protections there is less government spending and lower rates.  But on the other hand, insurance companies no longer have to cover sick people and will not have any limits on their personal profits.  If they want they could lower the rates for healthy people, but there is no way to be sure.  However since there won’t be rules about what must be included in health insurance, or who it can be sold to, the rates will be lower for some. But this also means unequal rates and high rates for women and sick people.