Some Families Could Be Priced Out of Having Health Coverage

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Because of a possible glitch in the health care overhaul law from President Barack Obama, there is the possibility of some families being priced out of health insurance. Families that are not able to afford employer coverage offered at their job will not be able to receive financial assistance from the government to purchase private health coverage at their own leisure.

According to the president’s administration, its hands were tied because of how the law was written by Congress. New rules from the IRS said that families unable to acquire coverage because of the problem will not face tax penalties.

  

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“This is a very significant problem, and we have urged that it be fixed,” said Ron Pollack, executive director of Families USA. “It is clear that the only way this can be fixed is through legislation and not the regulatory process.”

Beginning on October 1, a large number of middle-class uninsured residents will be allowed to sign up for government-subsidized private health coverage using exchanges, which are new health care marketplaces. Their health coverage will start on January 1. Americans will have to carry health insurance coverage from a government program, an employer, or by purchasing their own plan.

The president of First Focus, Bruce Lesley, said, “The children’s community is disappointed by the administration’s decision to deny access to coverage for children based on a bogus definition of affordability.”