How the Affordable Care Act May Affect You

Overview: Texas medical malpractice attorneys provide a summary and information about the Affordable Care Act, its possible effects on Medicare, and how this may affect you as a patient.

What is the Affordable Care Act?

The Affordable Care Act (ACA) is legislation that was signed into law by President Barack Obama on March 23, 2010.  The Supreme Court of the United States voted to uphold the law on June 28, 2012.  The Act, alongside the passage of the Health Care and Education Reconciliation Act, has been viewed as the largest regulatory revamp since Medicaid and Medicare entered the United States healthcare system.

The Act was proposed and enacted in an effort to provide quality and affordable health insurance to Americans, which would result in a dramatic increase in the number of citizens who are insured.  Some of the goals behind the Act were to decrease the number of uninsured Americans, decrease healthcare costs, and increase the quality of health insurance and healthcare in the U.S.

The first open-enrollment period ended on March 31, 2014 but was later extended in some states by the Department of Health and Human Services (DHHS).  As stated by the New England Journal of Medicine in their article, “Health Care Coverage under the Affordable Care Act – A Progress Report,” Americans who did not have qualified health insurance at the close of the open-enrollment period will incur a penalty of $95 or 1% of their income when they file their income taxes for the 2014 fiscal year.
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How the Affordable Care Act may Affect You

Although it is still too early to tell, skeptics of the ACA have hinted at their concern over the quality of healthcare that we may see in the future.  It has been suggested that the Act will reduce Medicare spending by tens to hundreds of billions of dollars each year.  While reduced spending is good for the economy, it may affect the quality of healthcare that you receive at medical facilities.

Hospitals that accept Medicare receive significantly less funding than they do from private insurers.  As the ACA proposes to decrease Medicare spending, it may have an adverse effect on the quality of healthcare, and may cause medical facilities to cut back on staffing.  Understaffing, shorter stays, narrower networks, and lowered financial incentives are all possible by-products of the ACA’s Medicare reduction.

According to a 2013 report in Health Services Research, reductions in Medicare payments to hospitals during a 13-year timeframe resulted in cuts to operating expenses, primarily to personnel.  It was found that most hospitals responded by reducing staff and length of hospital stays for patients.

Conversely, other studies have indicated that hospitals responded to the 2008 market collapse not by personnel cuts, but by minimizing costs in specific areas, such as advanced medical records and certain services.  These services include less profitable services such as those provided in substance abuse treatment or trauma centers.  Potential decreases to number of personnel and length of stays may impact patients in detrimental ways.  Some recent studies have intimated that reducing length of patient stay actually increases the mortality rate for patients who have suffered heart attacks, as well as those dealing with pneumonia.

According to a New York Times article, the proposed cuts to Medicare will be around 1.1% each year, equating to around $113 billion by 2019.  To provide the same level and quality of care for less, hospitals will have to become approximately 1.1% more productive each year.

We can only hope that these spending cuts do not negatively impact the quality of healthcare that we receive.  It seems as though the goal is to reduce spending while also increasing efficiency and quality, which is yet to be proven or definitively contradicted.  Currently, patients receiving medical treatment under Medicare have experienced various benefits, such as receiving free preventive screenings.  If we can maintain these benefits, while also not risking the threat of lesser treatment and quality, then we will have achieved a fantastic feat, and the goal of the Affordable Care Act may actually be realized.

What Action Should I Take?

Realizing that the Affordable Care Act has made significant changes to the U.S. healthcare system is the first step in becoming knowledgeable about how changing laws could impact you.  It is important to be informed so that you can make the best long-term decisions for your health.  With the potential for cutbacks to personnel, length of stays, and quality in healthcare treatment, it is vital to know your rights.

To learn more about your rights in relation to healthcare laws, or if you have questions about a potential medical malpractice claim, contact MedMalFirm.com to speak with one of our Texas medical malpractice attorneys.  While all we can do is wait to see what happens with changing healthcare laws, you don’t have to wait to get answers. Complete our online form to request a free consultation.