Question

we've heard a lot about the affordable Care Act(called, Obama care). under this act are all companies required to provide medical insurance? are there exceptions?

Answer 1

Not all companies are mandated to to undertake Health Insurance Scheme for their employees under Affordable Care Act, also known as Obamacare. Only large employer are obligated to undertake Health Insurance Scheme for their employees under Obamacare. Large employer are defined as any company having fifty or more full-time or full-time equivalent employees. These employer must provide employees and families with minimum health insurance covering at least sixty percent of covered services. Large employees are mandated to to provide Health Insurance coverage to a minimum of ninety-five percent of their employees and dependents. In case large employer fails to provide mandated Health Insurance Scheme, then they have to pay a no-coverage penalty.

The exception under this act are employer with less than fifty full-time or full-time equivalent employees in service. These small employer are not mandated to provide mandatory health coverage under affordable care act. But, if they wish to provide their employees with coverage under Obamacare, then they are eligible for tax credit and benefits.