Question

Case Study 1:​ Insurance Companies and the ACA The Patient Protection and Affordable Care Act that was signed into law in March of 2010 and fully enacted 2014 across the United States is experiencing serious financial difficulties, less than three years later. There are serious doubts regarding the financial feasibility of the act. One of the most visible signs of the difficulties centers around private insurance providers exiting governmentally subsidized insurance exchanges established to provide insurance options for lower income families and individuals. Health insurance premiums have also risen at an alarming rate during the last two years.

● Without providing great detail for all provisions contained in in the ACA, please discuss the primary reasons for the current financial problems.

● Do you feel as though tweaking the provisions outlined in the ACA will remedy the situation or are there more fundamental, structural and economic issues to be addressed?

Answer 1

The increased dependence on insurance , ie due to no of patient rising which creates a financial constraint for ACA. ALso medicare is getting expensive , cost of treatments are rising , health care professional fees are rising and thus insurance premiums .It makes dificult for ACA to cover such burdens with no of patients rising.

There is more than tweaking the provisions , undamental, structural and economic issues are to be addressed .For eg - rising medicare costs , rising corruption , overall economic situation etc.