Group and Private Insurance

You are likely to see changes to your existing health insurance policy because of the health care reform bill. You are likely to see increased benefits as well as increased costs at least over the short term. Over the long run it is possible that some of the changes will have a positive impact on prices, but that remains to be seen.

In January of 2010 certain employers became eligible for tax credits for offering health insurance to their employees. This could have resulted in your employer offering health insurance to you when they would not have otherwise.

Effective in April of 2010, states are eligible for matching funds to help them insure more people through Medicaid. This might have meant that you were offered coverage when you would not have otherwise.

In June of 2010 many Medicare recipients who participate in Medicare Part D received money to offset their prescription costs. If you had high prescription bills, you may have received a $250.

If you have a Part D Prescription Drug Plan and reach the prescription “donut hole” in 2011 you will find that name brand drugs will cost you less. The manufacturers will be subsidizing the cost so that you will pay about half of what you would have paid before.

Effective in June of 2010 the Early Retiree Reinsurance Program started helping employers help their former employees who retired early. Employers who participate in the program will receive money from the federal government to help them continue to provide insurance for those who retired before they were eligible for Medicare. Dependents, spouses and surviving spouse may also get coverage through this program.

Effective in June of 2010 new options were made available for those who have pre-existing conditions. Your state has the option of offering a policy to you. If they don’t do so, the federal Health and Human Services will create a program for the state’s residents. In order to qualify, you must have been without coverage for that pre-existing condition for at least 6 months.