The Association of Mature American Citizens has unveiled a plan to enable a replacement for the Affordable Care Act. AMAC president Dan Weber said “it is designed to swap out many of the most difficult, inefficient and unfair elements of Obamacare with a new, expanded Health Savings Account option that provides tax free coverage for all Americans.”
Under the AMAC proposal an individual or group would obtain a complete package
including medical care as well as insurance policies of their choice. “If you are a young man of 27 you won’t have to purchase maternity coverage as required under the Affordable Care Act.”
Employers who choose the HSA for their employees would receive a tax deduction as an incentive. Employees would use pre-tax dollars to pay for their costs, including premium payments, under the plan as would individuals who purchase HSAs. Coverage would be sold by qualified agents from the private sector who would counsel each person individually as to the choices available to them, thus assuring a smooth transition.
Under Obamacare most people pay a co-pay and a large deductible for medical services in addition to high premiums. However, the proposed HSA would provide for visits to a local doctor with no additional costs. All deductibles would be paid for with pre-tax dollars out of the savings portion of the HSA, eliminating a financial burden in the event of a major operation.
“Low income individuals and families would be covered under the HSA utilizing government subsidies. The difference between their coverage under the ACA and their coverage under the HSA is that they would not have any copays and would have funds they can use for deductibles,” Weber explained.
As for catastrophic coverage, under Obamacare there is a $6,000.00 deductible that must be paid out of pocket. “The savings feature in our HSA would be used to pay deductibles. Users would put in roughly $150.00 or more each month in order to accumulate funds in their accounts. At that rate, you would have about $6,000.00 saved in about three years.”
What if you have the plan for only about a year and you need the $6,000 but only have $1,000 in your account? Weber said AMAC spoke with officials at American Bankers Association, which has a division called the HSA Counsel. And, he said, banks would be willing to write short-term loan built into the new HSA. Payments for the loan would be made each month automatically with a portion of your pre-tax HSA deposits.
“As for those who can’t afford to pay for an HSA, our proposal calls for the establishment of what we call Pro Bono Care under which doctors would treat needy patients for free. We conducted a survey and found that some 350,000 doctors and nurse practitioners would be willing to participate in the Pro Bono Care program. If each one took 20 patients, that’s 7 million needy people who would be covered.”
The AMAC plan provides for doctor visits as needed with no copays, according to Weber. No one can be denied coverage. The cash portion of the plan is owned by the policyholder and may be used for retirement when they become eligible for Medicare. The loan provision guarantees funds to cover deductibles. Sons and daughters of those insured under the HSA would be eligible for coverage under their parents’ plans until the age of 26. Individuals with pre-existing conditions would be covered. And, the Pro Bono Care feature ensures that all Americans would have access to healthcare, even the poorest individuals and their families.
“Although Congress must first take advantage of the features we propose for an Obamacare replacement and President Trump would have to sign the law itself, we are calling our proposal The Trump HSA to honor the 45th President of the United States. We did not seek his approval, but we felt compelled to give credit where credit is due for the prospect of a sea change for the better in the way we provide coverage for our citizens,” Weber concluded.
ABOUT AMAC
The Association of Mature American Citizens [http://www.amac.us] is a vibrant, vital senior advocacy organization that takes its marching orders from its members. We act and speak on their behalf, protecting their interests and offering a practical insight on how to best solve the problems they face today. Live long and make a difference by joining us today at http://amac.us/join-amac.
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