With the re-election of President Barack Obama, the full implementation of the Affordable Care Act (ObamaCare) is now assured. It’s a 1,000 page law that has been widely publicized but few really understand what impact it will have on us individually. Over the next weeks and months I will be posting what I hope will be helpful information that will be able to develop strategies that will protect you and your family’s financial health.
Because I am writing this exclusively for the CRE community, I am going to make the following few assumptions:
Going forward, please keep the following in mind:
~Group plans of less than 50 members will probably become obsolete because their sole purpose will cease to exist. It is a fallacy that group insurance is always cheaper. Why? Because those that are healthy and in a group, have an excellent chance of paying considerably more than necessary. Actually, the real reason groups are still relevant is that they take everyone, no matter what the health condition. However, as of January 1, 2014 no one can be denied because of a pre-existing condition as the law states there will guaranteed acceptance for all. It is my opinion, however, that with the elimination of no pre-existing – there is no need for a group plan.
So what does that mean for CRE? If you are currently buying health insurance through a group plan now is an ideal time to consider an individual policy. This may not only save you money now but could lock you into a lower rate if your group plan goes away in 2014.
~If you obtained your insurance in the individual market and purchased it prior to October, 2011 there are benefits in the Affordable Care Act that are already in effect that you are not receiving.
So what does this mean for CRE? Among the benefits you are not receiving on individual plans acquired prior to October, 2011 are free doctor wellness visits, free wellness tests such as colonoscopys and mammograms, no lifetime caps, and most likely lower premiums because of profit limitations imposed on insurance companies (Medical Loss Ratio). In other words, you can save money on premiums and services you are currently paying for.
I hope that my 23 year experience as an industrial broker will be asset to CRE community and I look forward to helping you in the coming year.