MASSACHUSETTS HEALTH CARE REFORM

Posted by markfeldmaninsurance on April 20th, 2021

Massachusetts launched its health reform initiative in April 2006,

signed into law by Governor Mitt Romney to provide health insurance to nearly all of the residents of the Commonwealth of Massachusetts. The Massachusetts health care reform was based on shared responsibility among individuals, government, and business. Massachusetts health care reform is commonly referred to as Romneycare. 

Massachusetts health care reform typically aims:

• To widen the numbers of the population that receives health care coverage through either public or private insurance programs 

• To improve the quality of health care and access to health care specialists.

• To decrease the cost of health care and give more care to citizens.

Being America's one of the best health care reform, Massachusetts Health Care Reform has a history of providing a solid health insurance safety net, which continued with Medicaid expansion under the Affordability Care Act(ACA). Massachusetts Medicaid, which is called MassHealth, has high-income limits compared to many other states.

The Massachusetts Health Care Reform Law:

Massachusetts Health Care Reform Law requires most residents over 18 who can afford insurance to have health coverage for the entire year or pay the penalty through their tax returns. Penalties are added up for each month to which you don't comply, but a grace period is allotted that allows lapses in coverage of 3 or fewer consecutive months. You must be enrolled in health insurance plans that meet Minimum Creditable Coverage (MCC) requirements.

 Specifications of Massachusetts Health Care Reform:

• Massachusetts has maintained the highest coverage since 2008.

• Broadened Medicaid eligibility.

• This reform resulted in a relatively low number of uninsured persons

• Massachusetts state is the first to require individuals who could afford it to purchase health insurance.

• After implementing the law, around 98% of Massachusetts residents had health coverage.

• The high percentage of small business health insurance in Mass employer-sponsored insurance coverage and comparatively high per capita income. 

 The Massachusetts health care reform broadened eligibility for Medicaid and State Children's Health Insurance Program (SCHIP). In addition to that, it also developed two new ways to access health coverage:

• Commonwealth Care: 

Publicly subsidizes coverage for adults age 19 and above with income below 300 percent of the federal poverty level (FPL). Commonwealth Care offers a choice of four health plans. It is free for the people with a family income at or below 150 percent of the FPL and available at a sliding scale fee for those between 150 and 300 percent of the FPL.

• Commonwealth Choice: 

Private, a range of unsubsidized coverage is available to any resident who is not provided coverage through their employer/business. Commonwealth Choice has three steps of coverage—bronze, silver, and gold—which also offers plans for young adults ages 18 to 26 with lower premiums. Soon, small businesses health will offer Commonwealth Choice plans to their employees.

Penalty:

Suppose you don't have small business health insurance in Massachusetts, under the Massachusetts Health Care Reform Law. In that case, you'll be charged a tax penalty for each month of the year that you're without coverage if the state gets to know that you can afford health insurance but you didn't buy a plan. The individuals who fall below certain income thresholds are exempted, or the penalty varied according to income levels.