Marketplace Subsidies: Changing The 'Family Glitch' Reduces Family Health Spending But Increases Government Costs.

Under the Affordable Care Act, if one family member has an employer offer of single coverage deemed to be affordable--that is, costing less than 9.66 percent of family income in 2016--then all family members are ineligible for tax credits for Marketplace coverage, even if the cost of providing cover...

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Publicado en:Health Affairs Vol. 35; no. 7; pp. 1167 - 1176
Autores principales: Buettgens, Matthew, Dubay, Lisa, Kenney, Genevieve M.
Formato: research tables/charts Journal Article
Publicado: Health Affairs Publishing, LLC Jul2016
Acceso en línea:Ver este registro en EBSCOhost
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        atl: Marketplace Subsidies: Changing The 'Family Glitch' Reduces Family Health Spending But Increases Government Costs.
      aug:
        au:
          Buettgens, Matthew
          Dubay, Lisa
          Kenney, Genevieve M.
        affil: Senior research associate, Urban Institute, Washington, D.C.
      sug:
        subj:
          Health Insurance Exchanges
          Financing, Government
          Health Care Costs
          Eligibility Determination
          Patient Protection and Affordable Care Act
          Simulations
          Human
          Male
          Female
          Infant
          Child, Preschool
          Child
          Adolescence
          Adult
          Middle Age
          Funding Source
          Infant: 1-23 months
          Child, Preschool: 2-5 years
          Child: 6-12 years
          Adolescent: 13-18 years
          Adult: 19-44 years
          Middle Aged: 45-64 years
          Male
          Female
      ab: Under the Affordable Care Act, if one family member has an employer offer of single coverage deemed to be affordable--that is, costing less than 9.66 percent of family income in 2016--then all family members are ineligible for tax credits for Marketplace coverage, even if the cost of providing coverage to the whole family is greater than 9.66 percent of income. More than six million people live in such families and as a result are ineligible for premium tax credits. These families face premiums that can amount to 15.8 percent of income, or 12.0 percent after the tax advantages of employer-sponsored health coverage are factored in. We modeled the potential impact of changing the affordability test to take into account the cost of family coverage. Doing so would reduce spending on premiums from 12.0 percent to 6.3 percent of income, significantly alleviating financial burdens, but would generate little additional coverage. We estimated the additional costs to the federal government for premium tax credits and cost-sharing reductions to be between $3.7 billion and $6.5 billion in 2016.
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    language: English
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