The reality of many of the popular myths generated to keep people confused about the Affordable Care Act.
Myth #1 THE AFFORDABLE CARE ACT WILL BALLOON THE NATIONAL DEBT
- Reality : The Affordable Care Act fully pays for itself. If repealed, it would actually increase the national debt by over $1 TRILLION dollars in the next 20 years
Myth #2 THIS IS THE BIGGEST TAX INCREASE IN AMERICAN HISTORY
- Reality : Those who choose to go without coverage face an IRS penalty of $95 a year starting in 2014. By 2017, it tops out at $695 a year .
But the top 1% in our society does pay more:
- If a couple earns more than $250,000 in a year and has capital gains income of more than $500,000, they pay 3.8% on the amount over $500,000
- Insurance companies pay 2% of premium (non-profits pay half that amount)
- Large employers (over 100) who don’t provide coverage are billed up to $3,000 per employee, and medium sized employers (50-100) who don’t provide coverage pay $2,000 per person after excluding the first 30 workers.
Myth #3 SMALL EMPLOYERS WILL BE BANKRUPTED BY THE ACA
- Reality : Employers with fewer than 50 employees are EXEMPT from the Affordable Care Act. Employers who offer health care coverage will get a tax credit for 50% of the cost.
Myth #4 YOU’LL HAVE FEWER CHOICES FOR INSURANCE COVERAGE
- Reality : The truth is, individuals and small groups will have significantly more choices. Plans will be offered that pay 60, 70, 80 and 90% of the costs of essential care. To make this consumer oriented, you’ll be able to compare the benefits, prices and quality of those plans at a single, reliable website operated by the Health Insurance Exchange.
Myth #5 SENIORS ARE HURT BY CUTS TO MEDICARE
- Reality : In Reality , seniors AND Medicare recipients benefit from the Affordable Care Act.
- Medicare will now have to cover preventive services with no co-pays.
- Brand-name and generic drugs have to be offered at steep discounts and the infamous “doughnut hole” for prescription drugs is completely eliminated by 2020.
- Sets limits to the range of rates that can be charged based on a person’s age.
Myth #6 THIS IS A GOVERNMENT TAKEOVER OF OUR HEALTH CARE
- Reality : Exactly the opposite is true. This is a system built upon private insurance.
Myth #7 RATES WILL SKYROCKET OUT OF CONTROL
- Reality : In Reality , rates have been out of control for years because the current system is broken. By creating the largest possible number of people in this insurance pool, the Affordable Care Act will help to stabilize rates.
Myth #8 THE STATE CAN’T AFFORD THE INFLUX OF PEOPLE ON MEDICAID
- Reality: The State can’t afford to not cover low income people in Washington.