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What is Obamacare?

Obamacare is the nickname for a law Congress passed in 2010. The law is officially known as the “Patient Protection and Affordable Care Act.” It is intended to reform the American healthcare system by providing access to quality, affordable health insurance for nearly every American and reducing the cost of healthcare in the U.S.

Under Obamacare, all health insurance plans must provide the following 10 Essential Health Benefits:

  • 1. Ambulatory patient services.
  • 2. Emergency services.
  • 3. Hospitalization.
  • 4. Maternity and newborn care.
  • 5. Mental health services and addiction treatment.
  • 6. Prescription drugs.
  • 7. Rehabilitative and habilitative services and devices.
  • 8. Laboratory services.
  • 9. Preventive and wellness services and chronic disease management.
  • 10. Pediatric services, including dental and vision care.

Unless you meet one or more of the qualifications for an exemption, you are required by law to be enrolled in an Obamacare Plan or face a tax penalty.

Obamacare Plans meet the “minimum essential coverage” requirement of the Affordable Care Act. The penalty has increased, and is the greater of either a) 2.5% of your annual income, or b) $695 /adult and $347.50/child, with no household limit.

You can enroll in an Obamacare Plan only during the Open Enrollment Period -- which begins on November 1, 2016 and ends on January 31st, 2017 for 2017 coverage -- unless you qualify for the Special Enrollment Period.

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