Question: I have Medicare. Do I have to get Affordable Care Act?
Answer: If you have Medicare Part A (Hospital Insurance), you are considered covered under the Affordable Care Act. If you only have Medicare Part B (Medical Insurance), you aren’t considered to have minimum essential coverage. That means you have to pay the affordable care act penalty for people who don’t have necessary insurance coverage.
Medicare’s annual Open Enrollment Period (October 15-December 7).
Question: Do I have to pay a penalty if I have no insurance (No Obamacare or No Affordable Care Act?)
Answer: If you do not qualify for an exemption from Affordable Care Act and decide not to buy insurance, you will have to pay a penalty.
In 2014, the penalty is 1 percent of your annual household income or a fee of $95, whichever is greater. There is a cap of the 1 percent penalty. Imagine Bill Gates not having insurance and penalty a 1% penalty on his income. The maximum penalty is the premium for your household size for the national average of the Bronze plan. For 2014, the maximum annual penalty was $2,448 per individual up to $12,240 for families of five or more.
One of Affordable Care Act main goal is reducing the number of uninsured Americans. In 2000, there were about 38 million Americans without insurance. With the recession from 2009 to 2010, the number of uninsured American spike to 50 million!
The most controversial part of Affordable Care Act/Obama Care is the “individual mandate”. For the first time in American history, the federal government is requiring most Americans to have health insurance. Starting in January 2014, individuals will be required to have health insurance that qualifies as minimum essential coverage or risk paying a tax penalty for every month they are uninsured.
Anyone who doesn’t have medical insurance by March 31 will have to pay a $95 penalty, or 1 percent of their annual income, whichever is greater. And the penalty will rise by 2016, when the penalty will be 2.5 percent of your annual income or $695.