ObamaCare Gives $1.1 Billion in Cash Back to the American People

Hidden behind the right’s propaganda about a massive tax hike, President Obama’s healthcare law is forcing health insurance companies to issue a refund worth $1.1 billion dollars to Americans and business starting August 1st, 2012.

This “massive tax hike” the the GOP talks about, is actually smaller than Reagan’s tax hike of 1982. But really? Those are facts, so the GOP leaders don’t care about that.

The reason for this rebate is because in the Affordable Care Act, it mandates a medical loss ratio of 80%- 20%.

As Reuters is reporting,

“The rebates stem from a provision of the healthcare law that requires insurers to spend at least 80 percent of premiums on medical care or quality improvements, rather than advertising and administrative costs, salaries or bonuses. Insurers that devote less to actual healthcare services must pay customers the difference.

About 4.1 million people who are covered by individual insurance plans would receive a direct rebate, which HHS said would average $152 per family.

But the remaining 8.7 million beneficiaries are covered through the small and large employer markets and would receive only a portion of the rebate value depending on their share of premium costs. Officials said employers may choose to pass along the value of the rebate due their employees in forms other than cash, such as lower premiums or added benefits.”

The Republicans are threatening to take this away from you. Imagine what you could do with $1.1 billion for the economy.

ObamaCare is far from perfect, but it is a step in the correct direction. I personally do not care for the mandate, but I will deal with the mandate because it is accompanied by all the other things in the bill, from the provision like the one above, to closing the doughnut hole and covering our elderly citizens’ preventative care at no cost.

If you’re ready to read more from the unbossed and unbought Politicus team, sign up for our newsletter here!

13 Replies to “ObamaCare Gives $1.1 Billion in Cash Back to the American People”

  1. Of course, ObamaCare(s) isn’t perfect – it was never put forth that way. I think most people paying attention realized that, while better than what we had, it was far from ideal. Still, this is historic and significant legislation that will, in the final analysis, lead to a better health care system and, ultimately, to a healthier population. We are only as strong as our weakest members, and by weak I mean those who are poor, who cannot afford insurance, those who are dealing with health issues and cannot even get insured, etc. The stronger we are as a society, the better we all will be.

    It is unnerving that we had people wishing for its downfall – and I’m not referring to just those on the right – and that we’re seeing a complete freak out now to the point where you have people calling for an insurrection against the government and the Supreme Court. Apparently, the prospect of 30 million people and 17 million children with pre-existing conditions getting insurance coverage now is enough to send them completely off the rails.

    But just because the fright wing wants to collectively jump off a cliff, it doesn’t mean the President of the United States, the United States Supreme Court, or the Democratic Leadership in Congress ought to let them take the rest of us with them.

  2. I really wish the media wouldn’t refer to the Affordable Care Act as Obamacare. It’s not about Obama, it’s about what is good for the people of the USA.

  3. Getting interviews with people who receive those checks should be part of an Obama campaign ad.
    At least the dems have a second chance to sell the program instead of like in 2010.

  4. Even OBAMA is referring to it as ObamaCare now that the Supreme Court has voted to uphold it. It may not be perfect, but it is LAW now and those it will benefit will fight like tigers to keep the GOP from overturning it. Like any law it can be amended over time to be improved (or disabled, if people keep sending GOP lawmakers back to Congress). It’s up to us.

  5. Right! That’s why the president said on national TV on Thursday in his response to the ruling that he didn’t get the ACA passed for ‘political reasons,’ and that the ruling was a ‘victory’ for the American people.’

  6. What’s the freak out about the mandate? We’re forced to have insurance for our homes and vehicles, why shouldn’t we have to protect our most valuable asset, our health? When the right-wing calls this socialism, they’re idiots because the current system of allowing people who don’t have insuarnce to create an undue burden for all of us IS socialsim.

    Also, preventative care is covered for children, women & adults. I have an employer sponsored high deductible HSA plan yet my annual exams, labs, mammograms, etc are covered without me having to dish out all that before my deductible kicks in, I say Hell Yes!

  7. I’m liking it that the ACA is called “Obamacare”. Though the law needs improving (much like social security needed improving from its original version) our country has now started down the road to an improved health care that will come to be loved. Therefore “Obamacare” will move from infamy to famous.

  8. That is, if they don’t kill it first. Scott of Florida is refusing point-blank to follow any part of the ACA. In the meantime, there are a lot of “Good Christians” threatening to try to overthrow the government because of the ACA… because it supposedly rewards laziness and things like that.

  9. Ken, WhiteHouse.gov has an abundance of information pertaining to health care, including a timeline and aspects which have already gone into effect. The following link takes you to one of the videos created by members of the administration which features people who have benefited from the law.

    Real People Speak Out: The Affordable Care Act Is Helping Me

    http://www.whitehouse.gov/blog/2012/06/29/real-people-speak-out-affordable-care-act-helping-me

  10. The law’s major changes are scheduled to take place by 2014. According to federal law on January 1, 2013, states must demonstrate to the Department of Health and Human Services that the health care exchanges will be operational by that time. If they do not comply, Kathleen Sebelius, “shall establish and operate” the exchanges for the states.

  11. I wonder who pays for charity care! I do with my insurance coverage. Do the naysayers think that hospital print their own money. Wehave had several hospital close because of finanacial difficulties. Our Nurse and all hospital staff are part of the 99%ers. I don.t think our doctors are paid enough by Medicare. NJ iks having a time getting Internal Medicine doctors. Too bad baseball players and “stars” get all the praise and millions..my doctor deserves a million, too!

Comments are closed.