What does the Affordable Care Act of 2010 mandate that health insurance companies must spend?

Asked by: Lonny Rutherford  |  Last update: October 28, 2023
Score: 4.5/5 (11 votes)

The MLR provisions in the ACA limit the amount of premium dollars insurers can spend on administration, marketing, and profits. They require most health insurers in the small group and individual market to spend at least 80% of premiums on health care claims and quality improvement.

What does the Affordable Care Act of 2010 require?

Requires health plans to provide coverage for, and to not impose any cost sharing requirements for: (1) specified preventive items or services; (2) recommended immunizations; and (3) recommended preventive care and screenings for women and children.

What is the mandate of the Affordable Care Act?

The individual mandate is a provision within the Affordable Care Act that required individuals to purchase minimum essential coverage – or face a tax penalty – unless they were eligible for an exemption.

What did the Affordable Care Act of 2010 do for health care reform?

Make affordable health insurance available to more people. The law provides consumers with subsidies (“premium tax credits”) that lower costs for households with incomes between 100% and 400% of the federal poverty level (FPL). Expand the Medicaid program to cover all adults with income below 138% of the FPL.

What does the Affordable Care Act of 2010 mandate quizlet?

The Affordable Care Act of 2010 mandates that health insurance companies must spend 90%-95% of their premium revenues on quality health care.

How Does The Affordable Care Act Work?

40 related questions found

Which of the following are goals of the Affordable Care Act ACA of 2010?

The Patient Protection and Affordable Care Act (ACA) has 3 main objectives: (1) to reform the private insurance market—especially for individuals and small-group purchasers, (2) to expand Medicaid to the working poor with income up to 133% of the federal poverty level, and (3) to change the way that medical decisions ...

Which of the following are key provisions of the Affordable Care Act of 2010 quizlet?

Affordable Care Act Provisions Include:
  • Individual mandate.
  • health insurance reforms.
  • Essential Health benefits.
  • Affordable insurance exchanges.
  • Premium Credits to Eligible Individuals and Families.
  • Employer Requirements.
  • Premium Subsidiaries to Small Employers.
  • Early retirement reinsurance program.

Why was the Affordable Care Act of 2010 important?

The main goal of the ACA was to ensure that every American could afford a health insurance plan. This allowed families whose income put them at poverty level to be able afford their health insurance premium. This is done in the form of issued tax credits.

What are 2 components of the Affordable Care Act?

The law has 2 parts: the Patient Protection and Affordable Care Act and the Health Care and Education Reconciliation Act.

Which of the following was one of the goals of the Affordable Care Act of 2010 quizlet?

The ACA was enacted with the goals of increasing the quality and affordability of health insurance, lowering the uninsured rate by expanding public and private insurance coverage, and reducing the costs of healthcare for individuals and the government.

What is the 2010 law that seeks to ensure health care insurance for American citizens is formally known as?

The comprehensive health care reform law enacted in March 2010 (sometimes known as ACA, PPACA, or “Obamacare”).

What is one requirement of the Affordable Care Act Brainly?

The correct answer is B. The government will set up its own health insurance entity. This act provides medical insurance for all Americans. The state shall ensure that necessary health benefits are provided.

What was the purpose of the Affordable Care Act's individual mandate quizlet?

The individual responsibility provision of the Affordable Care Act, also known as the individual mandate, requires people who can afford to buy health insurance to do so, or else they must pay a penalty.

What are the 10 essential benefits of the Affordable Care Act?

Essential health benefits ensure that health plans cover care that patients need
  • Ambulatory patient services (outpatient services)
  • Emergency services.
  • Hospitalization.
  • Maternity and newborn care.
  • Mental health and substance use disorder services, including behavioral health treatment.
  • Prescription drugs.

What were the key requirements of the Affordable Care Act for an organization?

A mandate that employers with 50 or more full-time employees offer affordable, essential coverage to at least 95 percent of full-time employees and their dependents. Provisions for insurance premium subsidies for certain low- and middle-income households.

What is one requirement of the Affordable Care Act quizlet?

The ACA requires the establishment of "exchanges," which are: -state-based marketplaces where consumers can obtain ACA-compliant health plans. -subsidies to purchase private health insurance.

What are some of the main provisions of the 2010 Affordable Care Act known as Obamacare?

On September 23, 2010, a number of ACA provisions took effect, including the elimination of lifetime limits on coverage, restrictions on annual limits on coverage, prohibition on rescinding coverage except in cases of fraud, and the elimination of pre-existing condition exclusions for children.

What is not included in the Affordable Care Act?

Long-term care: You will need to pay for long-term care if you become disabled or need to move to a nursing home. It's not an essential health benefit under the Affordable Care Act and is not covered by Medicare or most private health plans. Abortion: Abortion is not one of the essential health benefits.

What are the 2 main goals of the ACA Accountable Care Act )?

The Patient Protection and Affordable Care Act (ACA) has two main goals: (1) to make health care coverage more available, affordable, and acceptable and (2) to slow the growth of health care costs in the U.S.

What are 3 benefits of the Affordable Care Act?

Affordable Care Act (ACA) basics

Among other things, the ACA made it easier for many people to get coverage, removed annual and lifetime limits on essential health benefits and put in place requirements that individuals have medical coverage or pay a tax penalty.

What are the benefits of the Affordable Care Act?

What Benefits Does the Affordable Care Act Cover?
  • Hospitalization services.
  • Ambulatory services.
  • Urgent and emergency care.
  • Prescription medications.
  • Maternity and breastfeeding support.
  • Laboratory services.
  • Preventative and wellness benefits.
  • Mental health and drug abuse services.

Why is the Affordable Care Act important in healthcare?

The ACA supports public health prevention efforts. It created the Prevention and Public Health Fund, which has paid for public health efforts across the country. The ACA requires insurance policies to cover essential health benefits that can help prevent serious, costly conditions.

What provision in the Affordable Care Act requires US residents to maintain health insurance?

The Affordable Care Act (ACA) requires most Americans to have qualifying health insurance called "minimum essential coverage." Under the ACA's individual shared responsibility provision (also known as the "individual mandate"), most Americans must maintain minimum essential coverage.

Why was the Affordable Care Act of 2010 controversial?

One early controversy concerned whether individuals would lose their current health plans when the new law took effect. Initially, some insured people were taken by surprise when their insurers canceled policies that did not qualify as minimum essential coverage (MEC) under the ACA.

How did the ACA fail to provide access to healthcare for all individuals?

It largely failed. Health insurance markets are only afloat because of massive federal subsidies and premiums and out-of-pocket obligations significantly increased for families. While the ACA has led to about 13 million more people with Medicaid, many more have been harmed.