While advocates for the Patient Protection and Affordable Care Act fear that young Americans may opt to not purchase health coverage in January 2014 – citing the fact they don't need it because they're healthy – a new poll suggests that it's older people who may be more likely to go without purchasing a plan.
According to the survey, which was performed by health insurance information firm HealthPocket, younger respondents were more receptive to buying a health plan than their older counterparts. Much of this has to do with subsidies, as people who are younger tend to not make as much money in a given year versus the older generation, and thus are more likely to be deemed eligible for financial assistance.
As a general rule, those who make less than $35,000 may be able to apply for financial assistance with the federal government in order to purchase a health plan from health insurance marketplaces.
Steve Zaleznick, executive director for consumer strategy and development at HealthPocket, indicated that the ACA wasn't structured properly among those who are still eligible for employee benefits but not Medicare.
"Many of them have pre-existing conditions that have historically caused them to be turned down for coverage," said Zaleznick. "While Obamacare guarantees coverage to all applicants – regardless of their health status – the cost of coverage remains a daunting hurdle to those whose rates will be three times the lowest rate charged to young Americans."
Should people decide not to buy a health policy, they may be fined $95 for the first year. If they don't buy coverage two years in a row, the penalty increases to $395 and to $695 for the third, or 2 percent of their income, whichever is more.
